Increase in Gas Taxes is Milking a Stone

. Friday, January 2

I must be in way over my head here, because I just don't understand this. Trace my steps with me and see if you can point out where I'm wrong here. The biggest market is the consumer market, right? If production is cut back, then people lose jobs. When people lose jobs, there is no longer money in the consumer's pocket. No money in consumers' pockets mean even more production cutbacks and job losses. And that means no more money to spend, right?

Now, it was only a few months ago that this drastic squeeze on the Everyday Joe and Jane was ignited by the price of oil, reflected in the price of gas. With fuel costs through the roof, consumer goods prices went through the roof along with it. God knows that the greedy bastards won't take a cut in the outrageous profit they are already making, so consumers pay the price 100-fold. Worrying about getting to work and putting food on the table, consumers cut back on spending. Less spending leads to production cutbacks to job losses to even less spending. All sorts of things collapse around this scenario besides the consumer product market, like housing and credit, yada yada yada ... except for gas companies. They come out smelling like a frakking rose.

Not being entirely stupid, OPEC magically cuts back prices on a barrel of oil, and once again, gas companies are still smelling quite rosy because, though there is some reduction at the gas pump, it's not near the percentage in drop of the price of crude. Is it a relief to consumers? Only a little. It's too little, too late you see, because fewer people have jobs and can't pay for anything, let alone gas. The greedy bastards bit the hand that feeds them way too often. But, they're still the rosy ones.

So, in its infinite wisdom, the powers that be decide that the best way to make up for many driving a lot less is to increase the taxes on gas and diesel! Short-sighted as usual, ignorant of cause and effect, and projecting what they think lies ahead (remind you of futures?) they decide to squeeze the consumer even more. They rationalize by saying it's the consumers that use the roads, so they should pay for it. Well, the roads are still the major part of the country's infrastructure, and those big ass trucks tear up roads far more than passenger vehicles. Not only will the price of gas go way up again, but so will the prices on food!

Then, in more infinite wisdom, someone pipes up and calls it like he sees it, that it's a carbon emission tax and not a gas tax. Turns out that the trucking industry loses close to $8 billion a year due to bottlenecks and traffic jams! My question then becomes "why should we pay for a road system that is so poorly designed that it can't handle the traffic?" It don't work. Period.

Think tanks be damned. Some commission does a study, so what. They look at things in terms of growth only. In a finite world, isn't it obvious that growth can only go so far? The reality is that the rich bastards now have all the money there is, and there's no more to be had. The idiots don't realize that as soon as they have all the money, it's worthless.

Sorry, Charlie. It's time you learned what the rest of us have known all along: As much as you'd like it to be otherwise, you can't get milk from a stone.

2 comments:

Anonymous said...

AMEN! AMEN! AMEN!

Theresa Komor said...

You know, I don't remember the original cause of the price of crude going up, do you? It's one heck of a good way to bring this country to its knees, don't you think?