AMGoff- And now, we see the consequences of those “special ed” economics.
.
.
.
Talking about Europeans mentioning their gas prices, is it just me or does it seem America’s tended in the past 20 years to be more like it’s European counterparts and punish everything with a fee? That may sound silly, but when you start hearing that your state may pass taxes on things you sell at your own yardsale, then what’s not crazy?

Whether or not anyone wants to admit it (or more likely whether or not they can understand it), inflation is a big factor towards the rise in prices across the board, however – the other factor which is exasperating the pain felt at the consumer level because of inflation is the record devaluing of the dollar… it’s not worth as much – period. If it’s not worth as much, then it doesn’t buy as much, which means it takes more dollars to buy the same amount of goods/services/commodities.

The end result of inflation in this country has generally been kept in check by a strong economy and a strong dollar. However, thanks to the “special-ed” version of economics that’s been practiced by our government for most of this decade, we have neither of those things…

Bad policy generally equates to a failed policy… which is why the last thing we would possibly need right now is this gas-tax “holiday,” because again, the last thing we need is the elimination of another tax without any cuts in spending, especially since this particular proposed tax cut won’t even be felt by consumers at the pump… so it’s a “lose-lose” proposal being touted by losers.

Also, the Fed making the dollar so worthless by decreasing the interest rate so freaking much and increasing the money supply so drastically, the dollar has lost 30% of its value since 2000 alone. The fed is a useless bureauacracy. The price spike is not based on supply and demand.

I hate when people from Europe come on sites and bitch that Americans should shut up about gas prices because they are so much “cheaper” than in Europe. Last time I checked only Saudi Arabia produces more oil a year than America, so our prices should be cheaper, that is the supply and demand aspect, but prices should only be at most $2 a barrel based on supply and demand.

Who would have known, but hey, I’m getting pretty tired of this bull****. Not so much prices, but the people in office regulating things in my life, it was never meant to be that way. Taxes are out of hand, and don’t consider bringing up Europe, I could care less if their taxes are three times higher, it just goes to show they have yet to grow any intolerance.

nerfer- You need to understand, it’s not just gas that’s taxed. It’s also the building of the refineries, the operation of the refineries and the production output, and then it’s taxed every cent of the way. I had been reading that taxes is a major reason for the price increase, more like twice the current advertised tax.

And you also need to understand that we really have no clue where peak oil lays. Estimations are there, but only based on known sources, production and output. We refuse to drill any more in Alaska, not because it’s an environmental threat, but where there’s profit to be made, they’ll do it.

Raineman- Then explain Europe, where the average car gets much better fuel economy than the average here. Taxes, yes, but take out a big chunk of that and your still left with four and five dollars a gallon, despite them barely using as much for their vehicles.

Much of it is due to inflation.

Let me ask all of you here, how does the Federal Reserve lower interest rates?

Don’t expect prices to recover to 2004 levels, ever. As oil production really hits the peak and starts to decline, probably in the next 2-8 years (big uncertainty because OPEC doesn’t release information about their oil reserves), prices could be triple what we complain about today. Put that in your tailpipe and smoke it.

A gas tax holiday would work if this was a temporary event (another Hurricane Katrina, or some pipeline is disabled for a couple months). But this isn’t temporary, so this kind of band-aid fix is nonsense and doesn’t solve the problem. Anybody who goes thru more than 30 gallons a month is a major part of the problem. Reducing consumption is the only answer until electric vehicles and cellulosic ethanol are in place. And bike lanes and public transportation, if that ever happens.

Part of what you said about increasing income is true… but fuel and food costs have doubled in the past 5 years… and the pay scale across america sure hasn’t.

Gas prices aren’t totally the fault of the oil companies. A lot of it has to do with the weakness of the dollar in the current market… and I wonder who is responcible for that?

Can’t prove it, but I guarantee that’s part of it.

Regardless… a gas tax holiday is the last thing we need right now. One of the big things that have gotten into this mess has been cutting taxes without cutting ridiculous amounts of spending… we’re carrying massive debt thanks to careless deficit spending which has directly affected the value of our dollar – it just doesn’t buy as much as it used to.

While global demand would have eventually drove gas up to a certain extent, if anyone wants to boil down the reason to its common denominator, look no further than the retarded cowboy that half of this country put into the White House for the past seven years.

What about those of us who cannot conserve anymore? I’ve already got a small car that gets good mileage. But I don’t have a choice when it comes to getting back and forth to work. I have to drive. There are no busses… and 15 miles each way along a major highway is suicide on a bike.

Let’s forget about just fuel prices. Look at the price of food! A 99 cent bag of rice now costs $1.50… and milk is up to $5/gal. People who were barely making it a year ago aren’t making it at all now.

Why should the sensible ones of us in America who did the right thing years ago and ditched the V8 trucks & SUVs still have to pay for all the idiots who bought Escalades, Expeditions, & Hummers?

Like anything, the solution for now is to adapt and kiss the old lifestyle goodbye. You’re already seeing a mass migration to smaller cars and away from huge SUVs. If you don’t want to pay tons of money for gas, then start doing the same.

I was looking at a Cayenne for my next car, but no more. I’m thinking of a small economical car like a GTi now; not because I can’t afford the gas on a Cayenne (remember, in Montreal gas is $1.30 a liter, which is about $5.00 a gallon), but because I think it’s obscene to spend $120 at the pump every week or two.

All I can say about the gas-tax holiday is can you say b-u-l-l-s-h-i-t?

Don’t start with me about how that money is being used for **** it shouldn’t. I know it too well.

But The Gas tax holiday would not solve the problems of high gas prices, would likely just give another 18.4 cents for every gallon to the oil companies, put people who build and fix the roads out of work because suddenly there is no money to pay them and/or buy the materials they need to do the job, and encourage consumption that will lead to gas prices being hastened up to or even over $5.00 a gallon.

The high gas prices are good for a number of reasons. They encourage conservation, the decline of of Full-sized Trucks and SUVs, The development of new fuel sources (included cellulosic ethanol away from grain based), more demand for more efficient vehicles, the subtle reduction in green house gases (oops I pooted), and more.

This “Gas Tax Holiday” only sounds good on the stump. It is “feel-good” policy that does nothing but make things worse.

This is pure crap and if Clinton and McCain were not so blindly desperate to grab votes they would see it and shut up about it.

Especially seeing as how the US is ranked #45 out of the top 150 economies for low gasoline prices.

http://www.time.com/time/magazine/article/0,9171,938911,00.html

The articles’ last line is the best “I see no end to it”