RocketAlum Wrote:Well, that's a democrat for you.....
What do you mean forward thinking?
Think about the possiblities if the automakers had to raise the standards and make cars/trucks that raise the average miles per gallon about 5 - 10 miles. Think about the drop in oil usage this relatively small change would bring about. It would mean less money for the oil industries(which are already making huge profits) and more importantly less money going to the MidEast. You would have thought after what happened in the late 70's and early 80's we would have learned our lesson about gas guzzling low mileage cars/trucks. Another sidenote from what I understand Japan's automakers are about ready to capitalize on our repeated mistake again by having the patent for a hybrid car.
No, I wasn't referring to forward thinking, I was referring to tree hugging at the cost of the economy.
Raising taxes, immediately on gas, would do nothing in the short term, except cause the economy to slow down further (maybe you have seen the effects of just the natural rise in prices.) People will have less disposable income to spend on everything else. That is compounded by a multiplier which is based on the propensity to save. This value, as can be seen by our average credit card debt in this country is very low, which means the multiplier is very high. So let's say for example that the propensity to save is 10%, then every dollar spent on gas tax takes $10 out of the economy. Great idea in the short term. I hope you are picking up my sarcasm.....
Now I will agree that a tax can drive behavior. In the case of smoking, if the tax is raised, overnight you can quit smoking and save paying the tax. With gasoline however, it isn't that simple. People are not going to be able to just go out and buy a more fuel efficient car overnight or make the car they currently have more fuel efficient. So a tax on gas doesn't make any sense, because you can't drive behavior in the short term.
If you want to drive change over time, put a gas guzzler tax on SUVs, give an incentive to buy a hybrid, or penalize the car makers for low fuel efficiency (is being done, but the average to hit is pretty easy.) That would be an effective way to drive behavior without crippling the economy.
So, to answer your question, when I said that's a democrat for you, I meant doing something rash & stupid without thinking about the consequences.
:ownd:
Dogger Wrote:Sorry, GTS, but the REAL problem is the price of gas. Necessity is the mother of invention. Gas is still an incredible value. What costs more. A gallon of milk or gas? Bottled water or gas? If American's had to pay more for gas, consumption would be cut by a third. Americans are like 3-4% of the world's population but we use over 25% of it's energies. We are energy hogs!! The right loves to TRUMPET ANWR, but the reality is we could really make a difference with consumption.
P.S. You will notice Dogger never mentioned something smart like you did when you said force automobile manufacturers to raise MPGs by 5-10. If he had said that, I wouldn't have made the comment I did. :wave: