Quote:
Originally Posted by brucepick
TIn addition to redpoint5's two options above, there's a third: have states increase their gasoline taxes. I would do that along with using income taxes to partially fund highway infrastructure.
Income tax - as redpoint5 says, we all benefit from the roads, so all should pay.
Increased fuel tax - the European method. Nothing wrong with raising the rate in the face of dropping consumption. There's nothing like $5 or $6 or more per gallon to get people to conserve. If you think $3.xx is your limit, you may have to choose between not using it or stealing it. Some say that's basically what we're doing at $3.xx/gallon because apparently the real cost is higher.
I'm modding for FE in preparation for those higher prices that may well arrive. Not just for today's prices.
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Spend some time at the bottom of the food chain and tell me how much you still like this idea.
An extra $.50/gal (or whatever) is a drop in the bucket when your household income is $100g/yr +
At $30g/yr it becomes an issue of “do I fill up the car or buy groceries?” I know people right now that flirt with this issue on far too regular of a basis, even at $3-4/gal.
My point is, when the money left over at the end of the week is $0 something has to be neglected to make ends meet. Raising the gas tax will be a kick in the nuts to the people stuck on the bottom as buying a new, more efficient car is not even an option. If they can’t afford $10-20/wk more in gas they SURE AS HECK can’t afford a $400-500/month new car payment or even $100-200 for a modest used car (keep in mind the poor don’t have the means to make a big down payment or get good financing to keep the payment down).
In my mind, the idea that makes the most sense is a registration tax; to be paid at your yearly auto registration. The tax rate should be based on 2 things: vehicle year and EPA combined MPG rating. It should taper off as the vehicle age becomes greater so as to not hammer the poor-er that are buying 10-20yr old vehicles and should be outrageously high on brand new, gas sucking monstrosities. The people that “need” that new 13mpg Escalade for their status symbol in the subdivision should pay out the nose for it. The single mom driving the $1500 Chevy Astro van toting her kids around at 13mpg, shouldn’t.