Obama Compares Clinton To Bush, McCain Over Gas Tax

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The Huffington Post   |   May 2, 2008 11:23 AM


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Sen. Barack Obama used his press conference this morning to go after Clinton on her recent gas tax holiday proposal. Obama claimed Clinton is borrowing phrases from President Bush, he then suggested that the only support Clinton can find for the idea is from John McCain.

Obama has also released an ad in Indiana hitting Clinton over this issue.

Sam Stein notes that the support for the gas tax among economist and energy analysts is non-existent, but the Clinton camp has argued that Hillary doesn't need to listen to experts on this issue.

Full press conference remarks below:
---
Remarks of Senator Barack Obama
Indianapolis, Indiana
Friday, May 2, 2008

This morning, we learned that while the unemployment rate was essentially unchanged last month, wages have gone down, and the economy lost 20,000 more jobs. That's 260,000 jobs lost since the beginning of the year. That's 260,000 more Americans who won't have a paycheck to help them cover the rising cost of health care and child care; gas and groceries. This news is troubling, but it's not surprising - because in recent months, we've seen the problems in our economy grow worse and worse.

Now, a big part of why so many folks are struggling is that Washington hasn't been looking out for them. For too long, we've had a politics that's been more about scoring points than solving problems.

We've had a good example of this lately, with the so-called gas tax holiday that Senator Clinton is proposing. At best, this is a plan that would save you pennies a day for the summer months; that is, unless gas prices are raised to fill in the gap, which is just what happened in Illinois, when we tried this a few years ago. Just this morning, there was an article in the paper about how the real beneficiaries of this tax holiday would be the oil companies, who'd walk away with billions more in profits.

Meanwhile, unless you can magically impose a windfall profits tax on oil companies overnight to pay for the holiday, it could imperil federal highway funding, and cost Indiana more than 6,000 jobs.

Now, the two Washington candidates in the race have been attacking me because I don't support their idea. In fact, yesterday Senator Clinton demanded that everyone go on the record on this issue. She even borrowed one of President Bush's favorite phrases, and said that every member of Congress had to tell her - "are they with us or against us?"

Well, folks have been weighing in. And you know what? It turns out that people want to be on the side of the American people - they don't want to be for something that is such an obvious election year gimmick; they don't want to line up behind an idea that's more about trying to get a few votes than getting you meaningful relief.

Speaker Pelosi said that she's against the McCain-Clinton gas tax gimmick because it won't pass savings on to consumers, and "it will defeat everything we've tried to do to lower the cost of oil." Steny Hoyer rejected the idea, saying it "would not be positive." Tom Harkin, a Senator who knows a thing or two about what working people are facing here in the Midwest, said that he can't be for it because there's no guarantee that it will "put money in the pockets of our consumers." You might think that there's more support for it in Senator Clinton's home state. But her own supporter, Governor Patterson, said he's against it because the benefit of the tax cut "doesn't go directly to the consumer" - instead, it goes to the oil companies.

But Senator Clinton does have some support for her plan in Congress. After all, the person who first proposed it was John McCain. So I guess when she says "are you with us or against us" - Senator Clinton is referring to her and John McCain. That's one vote she's got, because on this issue, Hillary Clinton and John McCain are reading from the same political playbook.

This isn't a real solution. It's a political stunt. This is what Washington does whenever there's a big problem. Politicians pretend that they're looking out for you, but they're just looking out for their poll numbers. Senator Clinton's own staff even told the Washington Post that they knew the idea might not make much of a difference for you, but it could make a big difference for her campaign. And when the Clinton campaign was pressed to find a single expert who supported her plan - I'm not making this up - they put her campaign pollster on the phone to talk about how the idea polls well.

But what Americans need isn't an idea that polls well; what you need is real change. What you need is leadership you can trust. That's what I'm offering. I'm tired of seeing us lose so many jobs month after month, year after year. When I'm President, we'll stop giving tax breaks to companies that ship jobs overseas and start giving them to companies that create good-paying jobs here at home. And we'll focus on long-term job growth. Rather than put highway funding at risk like my opponents are proposing, I have a plan to invest in our infrastructure and create millions of new jobs in the process. And I have a plan to invest in our green energy sector that will create up to five million new green jobs - and those are jobs that pay well and can't be outsourced.

To help Americans meet rising costs, I've proposed the biggest middle class tax cut of any candidate. It would mean real savings for working families, struggling homeowners, and seniors. We also need to address our economic woes at their source - the housing crisis. Nearly two years ago, I introduced legislation to crack down on predatory lenders and mortgage fraud - legislation that could have prevented this crisis from escalating. And I've called on Washington to help homeowners re-finance their mortgages so they can stay in their homes.

It's time to quit the political stunts, and start offering real solutions. That's what I've been doing throughout this campaign, and that's the kind of leadership I intend to offer as President of the United States.
 
 

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- Nonamnesiac See Profile I'm a Fan of Nonamnesiac permalink

This one will be interesting. It sounds to me like Obama screwed up here. The experts who oppose her temporary reduction of the gas tax are the same ones who support NAFTA and its progeny and are rarely right on the economy. Cutting the gas tax temporarily has been done in the past. She's saying to tax the windfall profits of the oil companies to supplant the revenue lost by the temporary reduction in the gas tax.

It seems to me that Obama's gut response here is wrong, his advice is bad and this could hurt him unnecessarily. Sure, you can crystal ball dangers that might occur with the tax cut, but the reality is it's harmless and gives those suffering from geometrically rising gas prices the appearance politicians are doing something to combat those rising prices. I think everyone knows that oil prices are going to continue to rise no matter what, so at least make an effort to slow that rate of rise.

And I wouldn't vote for Hillary if she got the nomination because her warmongering policies put my members of my family lives and limbs in jeopardy (but not members of her family, of course).

    Favorite    Flag as abusive Posted 07:54 AM on 05/04/2008
- BillyT See Profile I'm a Fan of BillyT permalink

Hillary's real plan to save America from its voracious oil appetite:

1. Bankrupt the Highway Trust Fund so much that THE INTERSTATE RAMPS AND BRIDGES COLLAPSE AND POTHOLES SWALLOW CARS WHOLE.

2. NOW, NO ONE CAN DRIVE ANYWHERE. Oil consumption plummets and we are saved.

I didn't think Hillary had it in her to think this far out. I was wrong.

    Favorite    Flag as abusive Posted 11:06 PM on 05/03/2008
- Myshkin57 See Profile I'm a Fan of Myshkin57 permalink

Brilliant!!! It's just like Bush's plan to save us by bringing the Rapture!!!

    Favorite    Flag as abusive Posted 02:57 PM on 05/04/2008
- Dmitriy See Profile I'm a Fan of Dmitriy permalink

Once again Obama is flip-flopping. Look up his vote in 2000 for gas tax break:

http://www.prnewswire.com/cgi-bin/stories.pl?ACCT=ind_focus.story&STORY=/www/story/04-25-2008/0004800492&EDATE=FRI+Apr+25+2008,+03:09+PM

    Favorite    Flag as abusive Posted 11:02 PM on 05/03/2008
- barrista See Profile I'm a Fan of barrista permalink

"Why Can't Barack Obama Admit That He Once Supported A Temporary Gas Tax Holiday, Which He Now Opposes?"

Lol, he's mentioned on several occasions that he once supported the tax holiday in Illinois . ANd he's said he learned from it that it doesn't work. Try again hun.

    Favorite    Flag as abusive Posted 01:00 AM on 05/04/2008
- Arleen1 See Profile I'm a Fan of Arleen1 permalink

Hillary's obsession with fighting amazes me. She doesn't have to fight everyone. Will she even fight against us if we happen not to agree with what she wants? I think so. If the American people don't want something, she will insist that is what we want, and that is what she will fight us to give us. I am tired of this fighting mantra. Can we not just agree to disagree sometimes?

    Favorite    Flag as abusive Posted 05:44 PM on 05/03/2008
- gregjones See Profile I'm a Fan of gregjones permalink

HILLARY HAS LOST THE ENTIRE BLACK VOTE....FOREVER !!!

This is the message being sent by blacks to the DNC (and the superdelegates). There is no way Hillary will defeat McCain without the support of Black America aka the guaranteed Democratic vote. Hillary started out with 82% of the black support. But as Blacks learned more about her (Goldwater Girl...Against Civil Rights Act '64....It was LBJ...Not MLK....etc) combined with Bill's (...fairy tale....Jessie Won S.C. too...etc.)...blacks were shocked beyond repair. (remember....we luved Bill so much we called him 'The First Black President')....but never again....WHERE'S THAT STORY. This has nothing to do with Obama !!!! We (blacks) have awakened to the truth about the Clintons......

Greg Jones
www.Blacks4Barack.org
(A Multi-Racial, Grassroots Org...Dedicated To Truth)

p.s. Blacks4Barack.org started in Feb. 2007 (Greg Jones) when VERY few blacks were for Obama.....they were ALL for Hillary !!!!! We knew that Obama was the best person to run our country and bring our troops home and that is why we started our grassroots organization. (Not because he's black...but because he's most qualified) The more black voters learned about Obama...the more they liked him.... the more they learned about the Clintons....the angrier they got !!!!!!!!!!!!!! We appreciate our friends of ALL races....who are working together....for the very best candidate....to put America on the right track.....Barack Obama ! THANK YOU !

    Favorite    Flag as abusive Posted 05:01 PM on 05/03/2008
- AC500 See Profile I'm a Fan of AC500 permalink


"You're either with us or against us?" By this statement alone EVERYONE and I mean E.V.E.R.Y.O.N.E. should know just how Hillary would run the country ... with the same divisiveness, arrogance and out of touch with reality type (lack of) leadership that the current President exhibits. What was she thinking? Those words alone should stir up in people an overwhelming anger at how the country was duped into an illegal and immoral war! It should stir up in people the same kind of anger towards anyone else who tries to manipulate them with such language. If ever there was a RED FLAG for democrats in this nomination process, it just went up with these words.

    Favorite    Flag as abusive Posted 02:48 PM on 05/03/2008
- Myshkin57 See Profile I'm a Fan of Myshkin57 permalink

If we really want to do something about energy consumption long term, we need to be more creative. Alternative fuels are a LONG way off from making a large dent in oil consumption.

I suggest a nationwide urban sprawl tax on developers and home buyers. We need to make disincentives for living 20 miles away from work. Maybe we could allow for exceptions for people who verifiably work within a short distance to where they work. We need to do something to change how much people drive.

Further, we need to stop the snickering about suggestions that people walk and bike more. These are alternatives that are available NOW. I'm not suggesting biking everywhere or at all times. But we all know that people take a car places that they do not need to. If all those trips were made by foot or bicycle we would make a big difference in the amount of oil we consume. Further, even if we were able to switch to solar powered cars tomorrow, we would still have a problem with congestion in most cities. Alternative means of transport are the only way to alleviate that problem. As has been shown time and time again, you cannot build your way out of congestion.

    Favorite    Flag as abusive Posted 02:35 PM on 05/03/2008
- dbdzen See Profile I'm a Fan of dbdzen permalink

If big oil gets taxed and passes on the tax to consumers, it's profit-neutral to them so they don't care. They still make the profits they were making before and consumers are still paying that $9bn out of pocket while being lied to that their politicians did something for them. The government gets the tax money from someone different, the fuel is in our cars so we still paid for it.

Gas demand has a lower price elasticity than most other products. However, the supply-side equation in gasoline is highly sensitive to capacity utilization dynamics. Since you have a Masters Degree, you should understand that this means consumers are less likely to react to a small downward or upward change in the gas price by much, at least not very quickly but if there is a perceptible shift in demand for oil, the price always falls almost immediately because refiners and other people in the oil supply chain must keep their plants fully utilized. This is borne out in the oil markets daily.

    Favorite    Flag as abusive Posted 01:21 PM on 05/03/2008
- dbdzen See Profile I'm a Fan of dbdzen permalink

It's a dumb idea. Making an ad about it is not going to make it smart. Voters who fall for it are being duped. Voters gullible enough not to see through the gimmick are ........... (fill in the blank).

The only way to make gas less expensive is to use less of it. American consumers are less than 6% of the world's population yet somehow we think we're entitled to consume 25% of the world's oil and pay less for it than anyone else in the industrialized world.

When cars from Detroit do 8 or 12 mpg and Japanese cars do nearly double that, you need real solutions, not pandering speeches and gimmicks. Barack's immediate solutions are even more sensible than Hillary's.

For starters, voters can drive slower on the highway by an average of 10 miles an hour.
1. It doesn't take money away from the Highway Fund, it can start today.
2. It generates lower emissions
3. It is safer
4. You will save more than $28 over 3 months
5. It doesn't create any new taxes and there's no chance of a price rebound
6. It will reduce the amount of gas we use on aggregate, leading to lower prices as demand falls.

I cannot repeat enough times, Clinton and McCain have presented a dumb idea and they're desperately politicking to save it. If tables were turned, Clinton would be on the stump labeling Obama as inexperienced.

    Favorite    Flag as abusive Posted 01:07 PM on 05/03/2008
- dbdzen See Profile I'm a Fan of dbdzen permalink

If you pass a gas tax holiday and tax oil companies to cover it, oil companies will raise their prices to pass back the windfall tax to customers. Congress would have a hard time preventing them from raising prices for whatever reason they wanted. If a Republican and a Democrat propose a dumb idea masquerading as immediate relief to voters, it takes a brave, honest leader to call them out.

Just how dumb can people like flyguy142222 be?

    Favorite    Flag as abusive Posted 12:54 PM on 05/03/2008
- flyguy14222 See Profile I'm a Fan of flyguy14222 permalink

If YOU had done your homework, you would know that the "plan" calls for a windfall tax on Big Oil. Call me dumb, but why would Big Oil want to keep raising prices, keep making outlandish profits and therefore keep paying a windfall tax. I only have a Masters degree but I think you need to brush up on Economics 101.

    Favorite    Flag as abusive Posted 12:58 PM on 05/03/2008
- BillyT See Profile I'm a Fan of BillyT permalink

Reading flyguywhatever's post reminds me of this FACT:

2/3 of HIGH SCHOOL DROPOUTS surveyed by Gallup say they support Hillary.

You've got to think beyond one move on the chess board if you want to survive.

Delete tax + No way to control gas prices = raised gas prices.

Windfall "tax" + No way to control gas prices = raised gas prices to pay for the windfall tax.

Even I can figure that out. Why can't you, flyguy??

    Favorite    Flag as abusive Posted 10:50 PM on 05/03/2008
- TiffanyHusseinBanned See Profile I'm a Fan of TiffanyHusseinBanned permalink

Yeah win fall tax will work in congress. LOL

NO support from congressional Dems. Just like she didn't have support from congressional Dems in the Hillarycare debacle.

I thought Hillary learned from her mistakes?

Can America really afford ANOTHER Hillary mistake?

Gee there has been so many. Her Iraq war vote, Hillarycare debacle, staying married to a serial philanderer, believing the serial philanderer hadn't cheated yet again with yet another woman, No Child Left Behind, Bankruptcy Bill, Travelgate (sorry Dems Hillary), not actually reading the NIE, Levin Amendment, Kyle/Liebermann, etc etc.

Hillary should stick to groundbreaking legislation like Woodstock museums and such.

    Favorite    Flag as abusive Posted 01:36 PM on 05/03/2008
- flyguy14222 See Profile I'm a Fan of flyguy14222 permalink

Here we go...when in doubt use personal insults.

    Favorite    Flag as abusive Posted 12:56 PM on 05/03/2008
- BillyT See Profile I'm a Fan of BillyT permalink

It's just mentioning a fact.

Flyguy: If you can't see what happens to unregulated Big Oil when you "tax" them extra, you are truly not the brightest bulb in the whole Home Depot.

    Favorite    Flag as abusive Posted 10:51 PM on 05/03/2008
- TiffanyHusseinBanned See Profile I'm a Fan of TiffanyHusseinBanned permalink

Is calling you dumb really an insult?

    Favorite    Flag as abusive Posted 01:50 PM on 05/03/2008
- flyguy14222 See Profile I'm a Fan of flyguy14222 permalink

Obama has quickly become a run of the mill politician. He so quickly dismisses Hillary's plan as a gimmick. Well no Barry, she offers real and immediate relief WITH a long term plan. All you have to offer is hope and my automobile unfortunately does not run on hope. Further, you automatically dismiss her plan because McCain supports the same type of tax relief. Just because the Republicans offer something does not make it immediately "not worthy." You're quick disposition of any ideas except your own will assure your defeat in November should you eek out the nom. Go Hill!

    Favorite    Flag as abusive Posted 12:46 PM on 05/03/2008
- BillyT See Profile I'm a Fan of BillyT permalink

flyguy you are so naive.

Big Oil loves people like you who will "tax" them: they will just raise the price of gas to pay that tax. All the while they get more tax credit courtesy of your generous contributions.

This is "immediate relief??"

It will immediately relieve the Highway Trust Fund of $9 billion that pays for highway repairs.

It will immediately relieve you of your money as Big Oil goes ahead and raise the gasoline price to match the deleted tax, plus more.

you want instant relief: write a check to Exxon right now. That's what you will be doing over the summer under Hillary McCain's plan.

    Favorite    Flag as abusive Posted 10:55 PM on 05/03/2008
- batspaul See Profile I'm a Fan of batspaul permalink

Nice talking points, flyguy. But "real and immediate relief with a long-term plan"?!? Let's see- $28 bucks on average over the course of the entire summer. For everyone, whether they need it or not, including idiots zipping around alone in Hummers. And she offers this cynical sop knowing that there is absolutely no way it will happen. And, if, magically, it WERE to happen, it would boost consumption and not address the underlying issue at all. THIS, my friend, is what is meant by "pandering."

Clinton, in typical craven fashion, is pitching a pretend answer that won't work, and won't happen, in an effort to buy the votes of people who won't do their homework.

Obama was right in SC--

Hillary Clinton: She will say anything-

and change NOTHING.

    Favorite    Flag as abusive Posted 06:43 PM on 05/03/2008
- dbdzen See Profile I'm a Fan of dbdzen permalink

According to the Federal Highway Administration, 74000 (yes, 74 thousand!) bridges countrywide are structurally deficient. 11% of Indiana's bridges are structurally deficient and another 11% are functionally obsolete. In North Carolina, the figure is 29% for these combined issues.

Basically, Hillary Clinton wants to bribe you with $28 for your vote then fly back to DC and pander like Bush did last August when a bridge in Minnesota collapsed into the Mississippi, taking lives with it. McCain wants the gas holiday, so does she but Republicans will not vote for the windfall tax she wants so she'll compromise with them and pass the cut without plugging the hole in the Highway Funding. Hillary will be forced to vote against the tax holiday she's proposing because Bush and McCain wont pay for it.

Another thing, her tone yesterday "for us or against us" was an incredibly arrogant way to address fellow Democrat members of Congress. That's the kind of thing superdelegates pay attention to in order to see how the President will work with House leaders and Senators.

She's just plain wrong on this and with it, she just kicked even the most remote chance of Al Gore's endorsement goodbye. You can take for granted which side Al Gore will be backing at the convention.

    Favorite    Flag as abusive Posted 12:38 PM on 05/03/2008
- KiwisCanFly See Profile I'm a Fan of KiwisCanFly permalink

Sen. Obama is correct, he did introduce legislation to crack down on predatory lenders and mortgage fraud. S. 2280 [109th]: STOP FRAUD Act. Introduced Feb 14 2006.

Housing: In the U.S. Senate, Obama introduced the STOP FRAUD Act to increase penalties for mortgage fraud and provide more protections for low-income homebuyers, well before the current sub-prime crisis began.
http://www.govtrack.us/congress/bill.xpd?tab=main&bill=s109-2280.

Another example of foresight and good judgement from Sen. Obama.

    Favorite    Flag as abusive Posted 12:26 PM on 05/03/2008
- going2ireland See Profile I'm a Fan of going2ireland permalink

I was just watching the news on TV (Good Morning America) and they said that the Democratic party was implementing something that has only been used once - when it was created during the Dukakis run. Add-on super delegates -76 of them.

WTF? Will this think never end??? Can't you just see, November GE will have come and gone and there still won't have been a Democrat nominee. This is getting BEYOND ridiculous!

If Hillary's goals is to create voter fatigue, well, on that point, she has certainly won. But if she thinks that Obama supporters will give up and cry "uncle" she is sadly mistaken.

    Favorite    Flag as abusive Posted 10:48 AM on 05/03/2008
- Stew118 See Profile I'm a Fan of Stew118 permalink


"And when the Clinton campaign was pressed to find a single expert who supported her plan - I'm not making this up - they put her campaign pollster on the phone to talk about how the idea polls well.
But what Americans need isn't an idea that polls well; what you need is real change. What you need is leadership you can trust."

Call me racist, sexist, elitist, apologist or extremist- I think he has a very valid point. I certainly don't believe that we wll fix the tough issues like tax or energy policy or the Iraq war overnight, however the only way that we can even begin to do the heavy lifting with these issues is to begin to TALK ABOUT THEM HONESTLY. Hillary and McCain have time and again demonstrated that they are running poll and lobbyist- driven campaigns where the sole focus is winning, be it a horse-race poll, news cycle, the next primary election, the nomination or the Presidency.

Barack does no want to play the game better than they do- he wants to change the game. IT'S UP TO US not Barack or John McCain or Hillary Clinton or any talkiing heads.

    Favorite    Flag as abusive Posted 10:40 AM on 05/03/2008
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