Do Me a Favor and Walk to School

I attend an out-of-district school which is about 16 miles from my house. The only bad thing is that it costs us anywhere between 40 and 50 dollars to fill up the gas tank in my mum's Mazda. Unfortunately, after a year of driving two sixteen mile trips a day, our gas bill has really skyrocketed. And to think that as recently as two years ago gas was only about $2.00 a gallon. It's too bad we live so far from our school, otherwise we could just walk.

Congress is proposing a bill that would increase taxes on gas companies. However, many conservatives stand by the gas companies and oppose the bill. But think about it: the gas companies are taking in so much profit; why should they pay less taxes than anyone else? As we sit here complaining about how high gas prices are, we just sit back and let the gas companies keep all of this money without paying enough of a share to the government. Many House Republicans have traditionally stood by big business, but what is going on now is definitely taking this policy to the extreme.

Even with gas prices so high, it never ceases to amaze me how many people still drive large, gas-guzzling vehicles. The more amazing part is that there is still a market for these vehicles (though admittedly at a lower rate than in previous years). Indeed, recently GM and Ford have had to make cutbacks in their production and in their overall budget, but as long as there are still people willing to buy trucks and sport utility vehicles, they'll keep producing them. To me it seems logical to move toward smaller vehicles, but people do seem to have grown attached to large vehicles.

A lot of people seem to think that the only reason to make vehicles more fuel efficient is to stop global warming. But there's more than that. Gas is a fossil fuel that takes a very long time to be produced. With this in mind, if we use excessive amounts of it, we will eventually run out. By making vehicles that are more fuel efficent, this catastrophy can be avoided. As I have mentioned in my previous blogs, there are other fuel sorces. However, one thing that I haven't touched is that there are alternate methods of transportation.

This includes public transportation. Many do seem to have grown accustomed to the idea of private transportation, but using metro and bus systems can significantly cut down on our fuel consumption and help us conserve our oil reserves.

Increase taxes on gas companies?



Two brief points;


1. Businesses, no matter what size, do not pay taxes. The consumers of their goods pay the taxes by way of an increased cost of product or services.


2. "But think about it: the gas companies are taking in so much profit; why should they pay less taxes than anyone else?"

"Big Oil" makes about 8% profit. That's all. They find the oil, they extract the oil, they refine the oil, they make sure it is available to the consumer, all for 8%. This is not massive profit. The government collects 15% in taxes for doing non of the above. Who do you thing should cut their take? Also, the tax breaks are simply the "big oil" companies being allowed to do what every other company does by way of equipment depreciation, without which "big oil" would not bother with much of the alternative energy research that they do.



Autobob | June 23, 2008 - 1:57pm
dennyg's picture

Remeber when?

Denny small town

Remember when the Supreme Court ordered student bussing? We were thrilled to get 18 mpg., in the 60's $4.50 to fill up?
When will we wise up? Windfall profits tax on oil companies? Just when we are asking them to spend more to explore and drill? In the 70's Carter did just that. What happened? The oil companies put caps on high cost wells to cut costs. Here we go again.
There needs to be some compromise to allow drilling in proven oil fields. The drilling leases recently auctioned are unproven and a long term return to the market place.

dennyg | June 12, 2008 - 12:11am