Clinton-McCain gas tax holiday slammed as bad idea

Socrtease

Socrtease

Verified User
WASHINGTON (Reuters) - A gas tax holiday proposed by U.S. presidential hopefuls John McCain and Hillary Clinton is viewed as a bad idea by many economists and has drawn unexpected support for Clinton rival Barack Obama, who also is opposed.

"Score one for Obama," wrote Greg Mankiw, a former chairman of President George W. Bush's Council of Economic Advisers. "In light of the side effects associated with driving ... gasoline taxes should be higher than they are, not lower."

Republican McCain and Democrat Clinton, who is battling Obama for their party's nomination, both want to suspend the 18.4-cents-per-gallon federal gas tax during the peak summer driving months to ease the pain of soaring gas prices. The tax is used to fund the Highway Trust Fund that builds and maintains roads and bridges.

Economists said that since refineries cannot increase their supply of gasoline in the space of a few summer months, lower prices will just boost demand and the benefits will flow to oil companies, not consumers.

The whole story is at http://news.yahoo.com/s/nm/20080430/pl_nm/usa_politics_gastax_economists_dc
 
It's such an empty, pandering gesture. It's the focus of a new Clinton ad attacking Obama, too; oops. I hope this gets some attention in the news.
 
I agree that's its just political showmanship why McCain and Hillary are supporting it. Pretty obvious pandering. But I find the economists quoted in the article intersting for their reasons for being against it. They state lower prices will just increase demand which I agree with but considering Americans are supposedly saying gas prices are one of their top two concerns right now it's an interesting approach to take. They are backing the side of some environmentalists who want the gas tax raised so as making driving even more cost prohibitive and therefore more positive benefits for the environment.
 
Topspin said:
18 cents a gallon is nothing to you limosine liberals, but it would help the average JOE.
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Uh huh. To the tune of an average of $28. I was an average Joe once; that's nuthin', especially considering that they'll end up paying it anyway, since Clinton would make up for the lost revenue in a windfall tax, which oil companies will pass onto consumers.
 
Topspin said:
18 cents a gallon is nothing to you limosine liberals, but it would help the average JOE.
Click to expand...


Maybe you should read the fucking article and apply some of the economics knowledge you claim to have before spouting off. The point, my friend, is that the consumer will not see the 18 cents, the oil companies will. :clink:
 
Damocles said:
Here's your chance! Discuss!
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Damo:

The fact that we here are discussing an issue, like religious right lunatics that candidates cozy up to or boneheaded gas tax holidays, does not mean that the issue is being widely discussed in the media and on cable news programs.

I hope this helps.
 
Topspin said:
18 cents a gallon is nothing to you limosine liberals, but it would help the average JOE.
Click to expand...

Yeah, and McCain says that poor people could go on vacation with their savings! The only thing holding poor people back from going to Aruba is a few cents a gallon. Oh yeah. He understand poverty alright, not like that arugala-eating Obama.
 
Dungheap said:
Damo:

The fact that we here are discussing an issue, like religious right lunatics that candidates cozy up to or boneheaded gas tax holidays, does not mean that the issue is being widely discussed in the media and on cable news programs.

I hope this helps.
Click to expand...
Imagine, when I hear about this on the radio show tonight on my drive home, my "shock" that people discuss things in the news there as well as on here.
 
Topspin said:
18 cents a gallon is nothing to you limosine liberals, but it would help the average JOE.
Click to expand...
My car has a 13 gallon tank, I fill up twice a month. IF I was bone dry it would be a savings of 2.34 per tank full. IF I filled up once a week it would mean an grand total of 9.36 a month which would be 28 bucks saved over a three month period. That won't fill my tank to half. Woo Hoo big savings!
 
Dungheap said:
Damo:

The fact that we here are discussing an issue, like religious right lunatics that candidates cozy up to or boneheaded gas tax holidays, does not mean that the issue is being widely discussed in the media and on cable news programs.

I hope this helps.
Click to expand...

Otherwise, Hardball would be talking about me and my new boss tonight.
 
Socrtease said:
My car has a 13 gallon tank, I fill up twice a month. IF I was bone dry it would be a savings of 2.34 per tank full. IF I filled up once a week it would mean an grand total of 9.36 a month which would be 28 bucks saved over a three month period. That won't fill my tank to half. Woo Hoo big savings!
Click to expand...

Wow! Aruba here come Socratease!
 
Onceler said:
Damo has an over-inflated sense of this board's place in the national political realm.
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LOL.

Seriously, if we are discussing it here it is very likely that somebody else was able to "discover" this awesomely "hidden" gem. I know it is tough for people on news shows to find Rueters stories, but I think they might catch this one.
 
And ALL of this depends on the price of gas not going up ANYWAY with the increased demand, WHICH it does EVERY summer. So by July 4 half, if not MORE of the savings of the gas tax holiday would be going straight back to Chevron, and THAT ladies and Gentlemen is REALLY why Top wants the gas tax holiday.
 
Damocles said:
LOL.

Seriously, if we are discussing it here it is very likely that somebody else was able to "discover" this awesomely "hidden" gem. I know it is tough for people on news shows to find Rueters stories, but I think they might catch this one.
Click to expand...

I guarantee you that if I go to my TV & turn on CNN, MSNBC, Fox, et al., right now, I am more likely to see them talking about the "Wright fallout" than about the fact that 2 major political candidates are focusing on a counter-productive, $10 billion deficit-creating, pandering political move, which I personally find more dishonest & disingenuous than anything Obama said yesterday.

I don't think something like this will get a lot of play. As an issue, it's too real.
 
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