More about Gas Taxes

An Increase in the Gas Tax Would Hurt Consumers and Slow the Economy
Some leaders in Congress want to increase the federal tax on gasoline by 5.45 cents per gallon, for the first year, and then index it to inflation. They would use the revenue from this tax increase to finance additional spending on highways and other transportation projects, which they say will benefit the economy. Macroeconomic analysis performed by the Center for Data Analysis at the Heritage Foundation, however, shows that increasing the gas tax would depress economic activity and the incomes of millions of Americans. It would also raise significantly less revenue than its proponents project. The President should be commended for his firm stand against raising the federal gasoline tax, and Congress would do well to abandon proposals to increase the gas tax and instead focus on spending highway dollars more efficiently, ideally by turning them back to the states.

If gas taxes do not work on a federal level, how can they work at a state?

Gas Tax History - Seattle PI

Takeaway – The national average is 23.7 cents a gallon, and right now, we pay 28 cents a gallon. And they want to tack another 15 cents a gallon on top of that.

Let’s talk about budget.

According to the State we will be paying 4.6 billion in health care costs for 1 million people. As we have 6 million residents, 1 in 6 people are getting health care from the state.

Instead of spending that 4.6 billion on bandaids why not find the root of the problem? Why can 1 in 6 people not afford health care? What can we, as a community, do to help these people get the satisfaction of paying their own way?

‘There is something wrong with the priorities of a state that denies children health care.”

-Gov. Christine Gregoire

The State does not deny children health care! They State is not an insurance company, nor is it a hospital. It is a State Government. If the state wants to insure that children have health care, then it needs to generate the opportunities the children’s parents need to provide good homes and basic health care for them.

So, we could more then likely carve the 500 million out of health care alone that they are looking for to improve roads and build new bridges.

However, I know that I am shouting into the wind. After all, Alexander Fraser Tytler said it best:

A democracy cannot exist as a permanent form of government. It can only exist until the voters discover that they can vote themselves largesse from the public treasury. From that moment on, the majority always votes for the candidates promising the most benefits from the public treasury with the result that a democracy always collapses over loose fiscal policy, always followed by a dictatorship. The average age of the world’s greatest civilizations has been 200 years.

-Tsyko

4 thoughts on “More about Gas Taxes”

  1. I find it horrendously funny that we are looking at gas tax and the charts showing the spending just like Ross Perot did, back when he took a shot at the Presidency. He was shot down and ridiculed for proposing the exact same gas tax. Now it is a reality?? I can’t decide which I like less….polictics…or politicians…
    Great Blog though Tsycko!!!!

  2. I find it horrendously funny that we are looking at gas tax and the charts showing the spending just like Ross Perot did, back when he took a shot at the Presidency. He was shot down and ridiculed for proposing the exact same gas tax. Now it is a reality?? I can’t decide which I like less….polictics…or politicians…
    Great Blog though Tsycko!!!!

  3. By knowing the risks, we can then take action to mitigate them. To few people understand the danger of government entitlements, however. Or, perhaps they do, and want everyone’s but theirs cut back.

    That is the largest problem with cutting the size of government and it’s budget. Everyone is ok with cutting the programs that they do not care about. But some one cares about every program. So, if you cut one program, then you anger the people who cared about it. They say ‘Why Us?’ and run a candidate who supports the Woolly Kitten Rescue Program.

    The only way to actually be fair about it is to cut them all at once. Then no one can cry foul, or prejudiced or anything else.

    Who has the political balls to do that though?

  4. I do not believe that democracy is futile or doomed to failure, although I agree it is a likely result that must be constantly battled against.

    Explaining to people basic principles and economics (I highly recommend Milton Freidman) is the best way to counter this trend. It is difficult work however.

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