Our 18.5 Cent Reality
The impact of a federal gas tax holiday would be extremely modest. On average, a driver in the US uses about 600 gallons of gasoline annually. Suspending the 18.4-cent-per-gallon federal levy would save a typical driver less than $10-a-month. To put it another way, the federal tax represents about 3% of the cost of $5-a-gallon gasoline."
My bet is that within a week the oil companies will raise the price by more than that amount. Laughing all the way to the bank.
Greedy bastards: Shell’s profits were 280 percent higher than in the first quarter of 2021. ExxonMobil made $23 billion in total profits in 2021. Where did the profit go? Exploration, cost adjustments at the pump, job creation cleaning the environment? it was used to buy back stock while the two alone cut 14,000 jobs. Also giving executives and CEOs $394 million in compensation bonuses—a nearly $45 million increase since 2020. (These Top 5 Oil Companies Just Raked In $35 Billion While Americans Pay More at the Pump)
So is inflation Joe Biden's fault? Where I fault Biden and Harris in that there was no action quickly and decisively to protect the American consumer. The 18.5 Tax Holiday is a good example of "too-little-too-late". And, don't get started on the baby formula mess. Inaction breeds contempt. Sadly, these two are toast, with two and a half years to go.
You cannot have capitalism when it pleases you and then communism when capitalism displeases you. The government could not intervene when the price of oil went negative during the pandemic, it cannot intervene now that, thanks to Trump’s buddy’s invasion of Ukraine, the companies are making profits. That is Capitalism, not perfect but much better than the option.ReplyDelete
Very good point! Greed is still ugly..Delete
Thanks for the comment.
More on inflation.....ReplyDelete
Prices went up for other reasons. The Republican Party has kept its HEEL OF ITS JACK BOOT on the heads of the minimum wage earners for nearly 20 years by not gradually and fairly raising wages to match the subtle, timely advance of NATURAL INFLATION (yeah, google it). AND yet, the RUBES still vote Republican, in the promise of 'low taxes' as they are too stupid to confuse low wages with high taxes. They are not OVERTAXED, just UNDERPAID.
The base wage here in Podunk NC has stood at less than $12.00 for decades. A DEPUTY SHERIFF told me he worked at the Verision Store to supplement his $12.00/hr wage.
The last time I made a UNION WAGE that low was 1976-- and that was along with FULLY PAID HEALTH CARE, AND PENSION.
That 1976 based wage had FOUR times the buying power of the 2022 $12.00. I retired at age 55, which included healthcare until age 65.
So 'the damn finally breaks', and workers finally decide not to work for such slave wages and the wage increase is seen in the increase in retail prices.
Moreover, the ORANGE FUHRER gave his rich cronies ANOTHER 3 Billion dollar tax break just before leaving town. Nothing inflationary 'bout that? HUH?
As for fuel prices, this 'game' has been played by OPEC and the oil companies for the last 40 years, and yet, people are still convinced to buy oversized pickups, AND SUV's -this was lobbied into law by the 'Real estate' ladies to pad their purchase of TAHOE AND ESCLADE SUV'S (for the 30K TAX CREDIT for a business use vehicle over 6000lbs GVWR ) ect...
Then the rubes have to find someone to blame for their stupidity other than themselves.
In 1979, I stepped out of the 'big car/new car trap' and never looked back.
That $5.00/gal gas in 2022 dollars, would be about $1.25 in 1980 dollars....
So why did you paint yourself into a corner?
Often we are our own worst enemy.