Comments on: Gas Prices http://great-hikes.com/blog/gas-prices/ Living and hiking on the island of Kauai Wed, 07 Jan 2009 12:08:57 +0000 http://wordpress.org/?v=1.5 by: Mark http://great-hikes.com/blog/gas-prices/#comment-12 Fri, 26 Aug 2005 09:29:03 -0400 http://great-hikes.com/blog/gas-prices/#comment-12 Depending on how it's paid for, capping gas prices could be a way to dampen what is generally the equivalent of a highly regressive tax (higher percentage of income paid by the poor than the rich). Or it could be an additional regressive tax, getting people who cannot afford it to help pay for people with huge gas guzzlers. The interesting bit I remember from <i>Critical Path</i> was the 1980 vintage calculation that manufacturing a gallon of gas would cost on the order of $1 trillion. So in some sense the cap is only about $999,999,997 too low. Depending on how it’s paid for, capping gas prices could be a way to dampen what is generally the equivalent of a highly regressive tax (higher percentage of income paid by the poor than the rich). Or it could be an additional regressive tax, getting people who cannot afford it to help pay for people with huge gas guzzlers.

The interesting bit I remember from Critical Path was the 1980 vintage calculation that manufacturing a gallon of gas would cost on the order of $1 trillion. So in some sense the cap is only about $999,999,997 too low.

]]> by: Jim http://great-hikes.com/blog/gas-prices/#comment-13 Mon, 29 Aug 2005 08:45:34 -0400 http://great-hikes.com/blog/gas-prices/#comment-13 Gas in Austin is only $2.49 last time I looked. But it is on its way to $3.00 this year I have read and maybe $5 in two years. Tax per gallon is 20 cents set in 1991. We don't have enough gas tax income to pay for the roads we need, we have only about a third. So if our legislature ever gets their act together we could easily have good roads again and maybe some gas conservation too. I don't see any reason to cap the price, the more expensive it gets the more likely people will use it rationally. I have read the Americans will not change their gas usage habits until it goes over $5. I did see congress start to set miles/gallon requirements on SUV last week. A step in the right direction. Gas in Austin is only $2.49 last time I looked. But it is on its way to $3.00 this year I have read and maybe $5 in two years. Tax per gallon is 20 cents set in 1991. We don’t have enough gas tax income to pay for the roads we need, we have only about a third. So if our legislature ever gets their act together we could easily have good roads again and maybe some gas conservation too.

I don’t see any reason to cap the price, the more expensive it gets the more likely people will use it rationally. I have read the Americans will not change their gas usage habits until it goes over $5. I did see congress start to set miles/gallon requirements on SUV last week. A step in the right direction.

]]> by: Andy http://great-hikes.com/blog/gas-prices/#comment-14 Wed, 31 Aug 2005 08:49:49 -0400 http://great-hikes.com/blog/gas-prices/#comment-14 Without getting too political, I too think that in the long term, higher gas prices better reflect the true cost of extracting and burning oil, and will modify behavior. However, in the short term, it is clear that it hurts the poorest the most, and the extra money makes the oil corporation richer without providing any alternative mass-transit as a tax could. Without getting too political, I too think that in the long term, higher gas prices better reflect the true cost of extracting and burning oil, and will modify behavior. However, in the short term, it is clear that it hurts the poorest the most, and the extra money makes the oil corporation richer without providing any alternative mass-transit as a tax could.

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