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To: Dan3 who wrote (182530)11/5/2005 7:00:21 AM
From: John Carragher  Read Replies (1) | Respond to of 186894
 
a heavy tax on gasoline hurts low and middle income more than those who can drive lux cars and never worry about the cost of gas even if it goes to $5. a gallon.. eu. has a very efficient mass transit system to take care of commuters so low and middle income people never have to drive. Our country is wide spread, extreme large distances vs eu and the system is supported through an income tax in addition to gasoline taxes.



To: Dan3 who wrote (182530)11/6/2005 7:31:40 PM
From: Robert Salasidis  Read Replies (2) | Respond to of 186894
 
Almost every other developed country in the world taxes imported fuel at a much higher rate than the US. The reasoning behind this is that there are externalities which are not captured by the market (I believe it can be argued both ways).

Perhaps that is why unemployment, growth etc is lower in "most" other developed countries.

Lower the cost of doing business, and it will benefit all.

As for national security, I would agree reliance on foreign oil is a problem, however, as opposed to making gasoline more expensive, I would think development of alternative fuel sources (coal, nuclear, and wind to a lesser extent) would help offset some of that dependency.

If one HAS to place a tax (which I am never one to argue for), taxing vehicle purchases based on gas consumption would make more sense. Businesses, or those with a genuine need for a large vehicle, would be exempt. This would likely have a lesser impact on the economy, and may spur the development of more hybrid and energy efficient vehicles.