More states mull gas-tax breaks After Katrina - Georgia suspended its gas tax and others may follow

[glenn1]

It's both sad and ironic that the most gullible out there have been calling for $5 gasoline for years in some misguided fantasy scenario (which generally involved some smirking satisfaction at the follies of SUV owners). Now that they're getting their wish in part, they start complaining that the integrated supermajors like Exxon-Mobil, Shell, and BP are making all the money instead of their wet dream fantasy that it would be collected in excise taxes. Which I guess they figured would go to buying their "enlightened" asses a new Prius to drive to the local Starbucks to buy a cup of "Fair Trade" mochiatta. Instead the Che Guevara wannabe's are finally figuring out what everyone else with half a brain knew for years, that the idiotic gasoline excise taxes only hurt those struggling and driving the used 1986 Honda Civic hatchback, not the folks in the 2005 Canyoneros they love to hate so much.

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[Engineer]

Another story (most won't follow or it will be only temporary).

 

[BoberFett]

I think even a temporary tax break on gas would be a mistake. The states are already strapped for cash, and cheaper gas would simply be coddling consumers and lulling them into a false sense of security.

Reality can be a bitch, but sometimes it's what people need.

 

[EagleKeeper]

If the states suspend the gas tax; then their funding levels for transportation projects will also be curtailed.

What they could do would be be lower the gas sales tax portion to keep it at a set level per gallon rather than as a percentage of the price.

 

[BaliBabyDoc]

Originally posted by: BoberFett
I think even a temporary tax break on gas would be a mistake. The states are already strapped for cash, and cheaper gas would simply be coddling consumers and lulling them into a false sense of security.

Reality can be a bitch, but sometimes it's what people need.

I agree it's retarded fiscal policy.

Real leadership would have started 10 years ago (yes that's Clinton/GOP Congress) gradually raising gas taxes and supporting the development of fuel efficient vehicles. Instead GOPies (plus retarded Democrats from MI) allowed US automakers to continue their road to oblivion.

Actually, real leadership would have followed up Carter era initiatives with billions of R&D for energy independence. Instead, we got Star Wars and enough debt to make a fiscal conservative cry.

Yes, the gas prices hurt everyone and disproportionately the poor. But many people are making BETTER more prudent decisions. Frivolous travel costs real money. All of sudden carpooling and public transportation aren't so inconvenient.

Personally, I love it. Premium at $3.39 is awesome. It's high enough that MOST people will actually think about how they get work, the kind of vehicles they buy, and the "extra" trips they make on a weekly basis.

 

[2cpuminimum]

Originally posted by: BaliBabyDoc

Originally posted by: BoberFett
I think even a temporary tax break on gas would be a mistake. The states are already strapped for cash, and cheaper gas would simply be coddling consumers and lulling them into a false sense of security.

Reality can be a bitch, but sometimes it's what people need.

I agree it's retarded fiscal policy.

Real leadership would have started 10 years ago (yes that's Clinton/GOP Congress) gradually raising gas taxes and supporting the development of fuel efficient vehicles. Instead GOPies (plus retarded Democrats from MI) allowed US automakers to continue their road to oblivion.

Actually, real leadership would have followed up Carter era initiatives with billions of R&D for energy independence. Instead, we got Star Wars and enough debt to make a fiscal conservative cry.

Yes, the gas prices hurt everyone and disproportionately the poor. But many people are making BETTER more prudent decisions. Frivolous travel costs real money. All of sudden carpooling and public transportation aren't so inconvenient.

Personally, I love it. Premium at $3.39 is awesome. It's high enough that MOST people will actually think about how they get work, the kind of vehicles they buy, and the "extra" trips they make on a weekly basis.

Although high gas prices hurt the poor worst (gas+food+rent+utilities= my entire paycheck), high gas prices are inevitable, it's just a matter of when they will occur and how suddenly. When you allow supply and demand mechanics to determine how the price goes up, then it goes up suddenly as it is now, doubling in less than eight months. If, instead, there was a gradually increasing tax passed that increased the tax on gasoline by five cents every month for the next ten years, then people have advance warning. This advance warning gives automakers time to market fuel efficient cars, time for fuel efficient cars to reach the used market. It would give investors a strong incentive to put their money in renewable fuels (such as e85 and biodeisel.)
I had to buy a used car this week so I don't have to drive forty miles out of my way every day to pick up and drop off my wife at work. Unfortunately, because there was no gradually increasing gas tax passed in the nineties, this used car gets worse mileage than the same model vehicle from 1987 by 10mpg. There is currently a lack of consumer choice on the used market with regard to mileage. You can buy a used car with mediocre, bad, or really bad mileage. If I had been able to buy the same used car in a flexible fuel model, I would have, but that isn't possible. A gradually increasing gas tax would result in increased consumer choice as well as greater price stability and predictibility for fuel. Artificially low gas prices in the short term will lead to greater price instability and shortages in the future. Besides, all military spending in the past fifteen years has been solely to secure the oil supply, and oil should be taxed high enough to pay for all military expenditures.

 

[zephyrprime]

Oil has now become a scarce resource with production that is unable to meet consumption. By eliminating the taxes on gas, consumers will be able to buy more gas but since production increases are meager, prices will simply rise again until consumers buy less gas and demand once again matches supply.

 

[DaveSimmons]

Agreed that like fiscal conservatism, fuel efficiency and alternative energy R&D support have been ignored by both parties for a long, long time.

Detroit and big oil paid off both parties to block any real change.

But a short-term gas tax holiday is OK I guess, since as 2cpuminimum said people had no advance warning of the sudden jump.

 

[hardwareguru84]

Detroit and big oil paid off both parties to block any real change.

Amen to that statement.

 

[Engineer]

Originally posted by: hardwareguru84

Detroit and big oil paid off both parties to block any real change.

Amen to that statement.

LOL. Acutally, Detroit paid one party off and Big Oil runs the other including currently, the country.

 

[hardwareguru84]

Originally posted by: Engineer

Originally posted by: hardwareguru84

Detroit and big oil paid off both parties to block any real change.

Amen to that statement.

LOL. Acutally, Detroit paid one party off and Big Oil runs the other including currently, the country.

Heh. Good point.

 

[Hacp]

Originally posted by: Engineer

Originally posted by: hardwareguru84

Detroit and big oil paid off both parties to block any real change.

Amen to that statement.

LOL. Acutally, Detroit paid one party off and Big Oil runs the other including currently, the country.

qft

 

[TheSlamma]

Screw that, keep repaving these POS roads, just because I got a lifetime warranty alighnment doesn't mean I like using the damn thing.

Besides screw the whiney SUV people, they bought that crap for the fad, you gotta pay if you are gonna play.

While I feel bad for people who need to drive big vehicles for work, there is still no excuse for how careless this place got, again back to the lessons of the last gas crunch. just because all that gas is there lets just burn it up and look good in a fat azz expedition while on the cell phone.

 

[Queasy]

Originally posted by: BoberFett
I think even a temporary tax break on gas would be a mistake. The states are already strapped for cash, and cheaper gas would simply be coddling consumers and lulling them into a false sense of security.

Reality can be a bitch, but sometimes it's what people need.

Actually, Georgia has said that they have been running a Gas Tax surplus over the last few months so they can afford suspending the gas tax through the end of September. Georgia has also been running an income tax surplus too if I'm not mistaken.