IMF is nuts (1 Viewer)

[TheDeparted]

It would crash the economy faster than they could sign the tax into place. Just the idea of actually going through with the tax and it passing would be enough to crash the economy.

I've been saying it for months now, the economy is on fire and the only way it is going to slow down any time soon is if the politicians get in the way or gas prices break $4/gal.

If you increase gas costs for people driving to work, companies shipping items or relying on outside sales or service and suddenly the price of everything goes up while everyone is making less. It takes away expendable money which slows down all businesses because people aren't buying. There is no way around it.

It hurts poor and middle-class people the most.

 

[krushing]

Might make a lot of sense in parts of the world where public transportation is readily available but not in a spread out country like the US. The folks asking for this live in overcrowded cities with world class transportation like Geneva Switzerland. It makes sense to tax gas there or a place like Tokyo or Singapore to get cars off the overcrowded roads. Doesent make sense in most of the US.

 

[Scooter2486]

Well, if they did something crazy with the tax, like I don't know put it into a fund designed specifically for infrastructure upgrades throughout the nation, I would be for a tax that gradually increases.

I am a little biased considering I work for a construction company.

 

[bclemms]

Well, if they did something crazy with the tax, like I don't know put it into a fund designed specifically for infrastructure upgrades throughout the nation, I would be for a tax that gradually increases.

I am a little biased considering I work for a construction company.

How did it work out for your construction company the last time gas broke $4/gal?

 

[V Chip]

My challenge is with statements like "... it's private profit driving the costs.". That is simply not true.

I disagree with you here. The increase in costs comes from either a natural (i.e., non-man-made) decrease in the supply such as bad weather, refinery explosion, etc; or it comes from a big uptick in demand, or it comes from someone in the chain setting the prices up as profit-driven. It's not the first -- there is no natural event(s) causing the supply to drop, so in the end it is someone making a profit at their own discretion to raise prices (either because they can as a result of higher demand, or a decision to artificially limit supply, or just strictly a profit motive). It might not be the profit of the specific layer you are talking about (oil companies) but it is almost definitely private profit that is driving the cost increase.

 

[Galbreath34]

I'm not sure what you mean by last time gas broke $4/gallon. My fillups have been consistently above $3.90/gallon for almost 2 years now.