The Investment Thread

The demand destruction in oil just got wiped out by suspension of the Federal gas tax. Such a stupid plan. It's the same story all over again. Federal Government suspending tax, increasing spending for a short term solution to a long term problem. This in turn will increase demand even farther and drive prices artificially higher. A tax that pays for infrastructure is being suspended at a time when our country's infrastructure needs so much repair. Purely politically motivated move to answer to the dumb people that do not understand basic supply and demand economics.

well, i think the gas tax is something like 18 cents a gallon... I'm not sure that's going to make a big impact on demand for gas when it's around $5. It will make some difference, but I don't think much. But it is a dumb idea.