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Politics : Politics for Pros- moderated

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To: LindyBill who wrote (206822)5/25/2007 6:07:43 AM
From: Snowshoe  Read Replies (1) of 793808
 
>>On Sunday, the regime promised they would not be raising gasoline prices. Less than two days later they raised them by twenty-five percent.<<

Raising the gasoline price is actually one of the few things the Iranian regime is doing right. Iranian gasoline is massively subsidized, so the 25% price rise was only 8 cents a gallon! They increased it from 30 cents to 38 cents/gallon!!! The result of such a generous subsidy is predictable: Iranians waste a tremendous amount of fuel in old inefficient vehicles, and they have a big smuggling problem.

>>If a government behaved like this in a free country, it would be turned out of office in a nanosecond.<<

These kinds of fuel subsidies exist in a number of other countries such as Indonesia and Nigeria. The governments are desperate to phase them out, but taking action tends to provoke rioting in the streets.
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