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Politics : Foreign Affairs Discussion Group
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To: quehubo who wrote (109613)8/3/2003 12:06:29 PM
From: KyrosL  Read Replies (1) of 281500
 
If gasoline was taxed to show the costs involved with supporting the military protection required to ensure its safe supply we would be paying a much higher prices and using much less.

Amen. I wonder when US politicians and the US public will wake up and realize that US gasoline and other energy taxes should reflect the enormous costs of protecting ME oil, almost all of which are borne by the US. Far from being market distorting, such taxes will help the markets rationalize energy demand. I have seen estimates that such costs can be covered if US gas and oil taxes are raised by around $2 per gallon, roughly the same as in Europe and Japan.

The obvious highly beneficial side effect would be a huge reduction in US demand in the longer term, the elimination of our dependence on Middle East oil and, therefore, a reduction or elimination of the cost of protecting ME oil supplies -- let the Europeans, the Japanese, and the Chinese worry about the ME.

Kyros
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