Gas Tax Holiday? Who's the Real Elitist?

It was bad enough that Sen. Clinton signed on to the plain-as-day-pander to suspend the 18 cent-per-gallon federal gas tax for the summer months, but her continued allegiance to an idea that has been universally (except for her and Sen. McCain) derided offers a couple disturbing insights.

In the face of overwhelming evidence that the suspension would suck anywhere from $9 billion to $10 billion from the treasury, encourage more driving -- which leads to greater pollution and an increase in demand that would drive prices back up to pre-tax suspension levels -- and deliver even more obscene profits to the oil companies, she was back on TV today saying she didn't hold much truck with economists. That "if we did it right" she would see that it would be implemented effectively.

That, said Gail Collins in Saturday's Times, "turns a proposal that was unlikely to ever get passed into one that could not make it through the Senate if Ronald Reagan and John F. Kennedy both rose from the dead and hand-carried it there."

And despite the senator's assertion that she's going to "reverse the trends I've seen in our government and our political system," what she's actually peddling is more of the same.
It's the Iraq war resolution vote all over again -- and it's a page out of the George Bush playbook: make a mistake, and by God I'm gonna stick by that mistake because I'm resolute. That's not reversing the system, that's perpetuating it.

And the subtext to the whole gas tax suspension -- critics-be-damned, she knows better and she's going to take care of all of us working folks out there -- strikes me as more than a little elitist, frankly.

A pat on the head and 30 bucks in the wallet might sway a few folks, but the truth is it's more of the same misleading, elitist, top-down Beltway nonsense that's gotten us into the mess we're in.

Comments

[Lisette]

THIS IS THE EXACT REASON SHE COULD NOT GET HEALTH CARE PASSED.

SHE WILL MAKE A BAD PRESIDENT BECAUSE OF THIS.

SHE WILL BE AS INEFFECTUAL IN THIS AS HER HEALTH CARE PLAN

AND ANYTHING ELSE TOO

THIS IS HER PERSONALITY FLAW

[BermudaGirl]

Mrs. Clinton would promise you anything and I mean anything to get your vote. The sad thing is Americans have not learnt any lessons from the past eight years. If you had Hillary Clinton would have been out of this election circus in the first round. She is a lying, underhanded, storytelling, loser, the same as George Bush. It is clear that Americans are Bullies and Whims.
But you are given the rest of the world a good laugh as you continue your fall from your place as a Super World Power. You have lost the respect of the rest of the world and you are truly reaping the rewards of your actions. So why not continue on this road or.....
...Hey maybe you could vote for someone who is an inspiriation and try to win back some of the respect which has been lost because of the bad decision made by the people of the USA. You cannot blame GWB for your situation, you are all guilty, you voted for him a second time even after he stole the first election. (Winning by any means) remind you of someone today. You reap what you so. The chicken shave come home to roust. Suck it up.
Go have a beer or a shot of whisky with Hillary. Be a Man. Oh I mean be a white man, Oh I mean be a uneducated white man, Oh I mean be an uneducated poor white man with a beer. Be a LOSER

[NoeR]

I'm wondering if you vote. I'm wondering if you had much of an education. I'd fall flat on my face if you could offer the American public a better way.

[Ken Volok]

How about a summer holiday from paying Halleburton and Blackwater for their crimes in Iraq? I bet that would boost the economy.

[joselopez]

AS GEORGE BUSH DID, CLINTON IS RELYING ON THE IGNORANCE OF THE AMERICAN VOTER.

AND BASED ON THE RESULTS FROM OHIO AND PA, UNFORTUNATELY SHE HIS ON TO SOMETHING.

[researcher]

amen to that. a republic deserves its leaders. best kept secret in the world.

[LeeinJax]

Not to mention the icnreasing the net national morality.

[oldlakelady]

How is Hillary's refusal to admit her Iraq war vote was a foreign policy mistake (in spite of all we know now!) and her refusal to admit that her gas tax holiday idea is an economic mistake (in spite of the 100's of economists that have spoken out against the idea) different than the way George W. Bush has approached decision making?? Not much different - neither one is able to admit an error no matter how clear the evidence is to the contrary and neither one wants input from anyone who doesn't agree with them. Scary! If this is what America wants, don't expect anything in Washington to change for the positive.

[MourningDude]

All the "economists" chiming in on this beg one simple question.

If LOWERING the gas tax is bad economically, then would RAISING the gas tax be good economically?

I would guess that the chances of the gas tax now being precisely, optimally set at the perfect value, economically, are just about ZERO.

And if so, then all the same arguments used for why giving a tax holiday is a bad idea would work in reverse to argue that raising gas taxes is a good idea.

Let's hear Obama talk about a temporary gas tax hike, and bring out his long line of economists to support him!

[sf94127]

Yes, Obama has said lowering gas prices would result in higher prices so yes, he should explain how raising prices on gasoline would lead to lower prices.

Obama knows jack about market factors that influence gas prices.

Most of the cable anchors have double digit IQ's; most seem to believe that lowering prices will raise the prices.

[NightRider]

Dude, there are three factors at play today.

1) Big Oil - Lowering TAX is Good for Oil Companies. Demand increase prices increase

2) Government - Increasing TAX is Good for Government. More Revenue.

3) Consumer - We can't buy less unless we drive less and use less. A gallon is a gallon.i use the same gallon to go to the store, irrespective of cost.

UNLESS we make less gas guzzler, better urban planning so we don't drive 50 miles to work etc.

This is the balancing act that Government have to do in order not to squeeze the little people. Budgets are set on TAX revenues. Reduce that revenue and government cut back and people lose jobs.

Obama got this thing figured out. Truthfully, this issue for him is not politics. It is TRUTH, COMMON SENSE AND DECENCY. Virtues lacking in McCain and Clinton.

[saulpaulus]

Where I live in NW British Columbia, gas is nearly $5 a gallon, so gas is still cheap in the US no matter what you think. Taxes are the price we pay to live in societies where we don't have to worry about the local warlord coming in with his child soldiers and chopping our hands off or worse. Where people aren't dying like flies from malaria, TB, or any of a host of other diseases. Where we don't have to worry about the local party boss locking us up for 5 years...or worse...an­ytime we say something he doesn't like. We pay taxes to stay safe, healthy, and prosperous­...and, believe me, we are prosperous compared with almost anyone else in the world. Hillary can pander all she wants. Barack is ready to lead. Obama '08!!!

[NoeR]

All that for $0.18/gall­on? I think a reduction in gas taxes is an excellent idea, especially if it is linked to a windfall profits tax on energy companies and investors. Investors are driving the gas prices high anyway. They should be taxed. Why should the rest of America suffer to make a few rich egotists richer?

[saulpaulus]

I was making a general point about taxes. Gas taxes apparently go to improving infrastructure. We don't want our bridges collapsing or our roads crumbling. As has been noted in this blog, no one will save any money from this tax cut. Oil companies will keep charging just as much for the gas and pocketing the alleged savings. Also, don't think for a minute that either Hillary or McCain would really enact this cut. They would just count on us having short memories and attention spans if they were elected. They are lying and pandering for votes. We need to be encouraging energy conservation and promoting fuel efficiency, not lying and pandering about tax cuts that would only further enrich Exxon if they ever were enacted.

[katefranklin]

Looking voters straight in the eyes while giving them the gas-tax holiday bunny ears is the ultimate in condescension.

[ibsteve2u]

Oh, I don't know...I think Bill Clinton's assertion that America shouldn't worry about the loss of manufacturing jobs because we were going to turn into a "service economy" is the all-time classic.

I wonder how often he recalled those promises of his as he and Hillary were flying around on Vin Gupta's jets in their effort to get Hillary installed in the Senate back during stage #1?

[blytzd]

COL (Crying Out Loud) Correct, let us see a service economy build a battleship­... or a decent American car, thank god for Honda and Toyota the only auto makers who are shipping manufacturing jobs into the US instead of shipping them out.

[NoeR]

I don't know. Are you an investor in oil or energy companies? It seems to me those people are the only ones with anything to lose.

[nazardesign]

The top-down machine of yesteryear's Democratic party is exactly what got us this "elitist" label. I notice that no one says we're being "elite", but "elitist". The latter is a more complex concept involving consciousness of belonging to the elite. "Elite" is too cool sounding.

Anyway, I've felt for much of this primary season that this top-down, mothering is condescending and ironically patronizing when you have a people-built grassroots organization as the alternative.

[ThirdSection]

And "elitist" wins hands-down as the new meaningless buzzword of the 2008 silly season!

Huzzah!!!

[BinBaldwin]

Middle Class Taxi Drivers and Truck Drivers would enjoy a GAS TAX break. My Brothers truck burns 25 Gallons of Diesel a Day. This would save him 7-10.00 a day Diesel tax is 24 cents. Obama is playing politics .

[nazardesign]

That sounds right, but the history of these types of things is that the savings don't appear. Prices go up. Illinois had this problem.

[Sumocat]

"Middle Class Taxi Drivers and Truck Drivers would enjoy a GAS TAX break." -- if they actually received any of that break, but how much do you trust oil companies to not raise prices to cover the difference? Do you honestly believe dropping the tax would not be followed by a price hike? That's what happened in Illinois when they tried it (which is how Obama knows it doesn't work). It happened when the federal wireless excise tax was dropped, and Verizon added a fee to their charges to cover the difference. It happens every time. But if you think the oil companies haven't been screwing over your brother, go ahead and assume they won't screw him over any further.

[Zogtastic]

Oil companies (as with most companies and corporations) care about their profits only, because that's what their share holders care about. If they lose their profits, they need to make them up.

You're absolutely correct.

[indalay]

It would save him money ONLY if it passes Congress (which it won't) and only if the oil companies and retailers immediately apply the entire savings to the price at the pump (which they won't.)
It's purely a political trick to offer this as if it could & would happen - but by the time you (and your brother) realize you've been hoodwinked, it will be too late to reconsider your vote.

The fact that the only people who say they favor this idea are 2 politicians, and no one else without a vested interest in the upcoming election believes it's realistic or wise should make it clear to you just who is playing politics.

Please understand this is an empty promise, a textbook example of pandering.

Meanwhile, I know times really are hard most everywhere, and I wish you and your family well.

[Zogtastic]

Middle Class Taxi Drivers and Truck Drivers already receive gas expenses as a tax deductible item. You know... cuz it's kind of necessary to the business..­.

[boolala]

Yeah, and the estimated 7000 people in NC alone who would lose their jobs because that money was taken out of the federal highway fund (while whe all hold our breath waiting for Bush to sign a windfall tax on the oil companies) will really NEED the $30 dollars they'll save on gas to tide them over while they look for new jobs.
Sadly, their unemployment will run out a lot faster than it used to, thanks of Bill's "welfare reform" triangulations.
Clinton's plan is bad for the long term AND the short term.

[VicPerry]

So many stupid dog tricks, so little time -

1) If gas had gone up just 18 cents in the last year --- would you have noticed? So let's say that the worst average price we've yet had --- I believe that's about $3.99 - now is lowered to a mere $3.81. Wow!! Man, I'm toppin' off at that price!! (By the way, the negative claim --- that getting rid of 18 cents on a gallon encourages us all to drive a whole lot more -- is also ridiculous­.)

2) As there is no reason for them not to, the oil companies will be happy to slowly but surely add those 18 cents back to their per-gallon profit margin. Duh. So the massive savings offered by the 18 cent a gallon windfall will perhaps be less than we are thinking: little now, soon to be none, and negative to come when the government finds another way to get that money...)

3) Please pardon my elitism, I can add and subtract and multiply and divide. Hillary Clinton evidently is counting on working class people not to possess these hoity-toity skills.

[NoeR]

1) Some of us have to drive irregardless of the cost of gas. A penny drop in the price of gas is helpful.

2) Written properly, a windfall profits tax on both oil companies and investors would not allow the creap back to previous profit levels so easily.

3) Since you can add, I'll meet you at a gas station of your choice and you can add the tax portion of my purchase to your bill. I have absolutely no problem with that.

[CyrusBeaucephus]

Wow maybe you can muster the same amount of enthusiasm for ending the Iraq War, since that has singlehandedly driven the price of gas up a couple of dollars (while pissing away trillions of US tax dollars) Why are we even talking about this stupid shameless Clinton pandering? It will accomplish nothing, other than giving her a chance to run her mouth about 'elitism' a little more. Of course I am responding to someone who thinks "irregardless" is a word. Since you can add and subtract try losing the first 2 letters

[BillyT]

NoeR:

1. the money will not be saved. Big Oil will lap up any wiggle room left out by the tax delete.

2. Even if you save a penny a gallon, which means you will save 3 cents a day on average, that means US Highway Trust Fund LOSES 10 BILLION BUCKS while Big Oil collects 9 BILLION BUCKS instead.

3. You don't need to know how to add to know that Big Oil doesn't care for you. The prices will go straight up.

4. Gas prices have already gone up 15 cents the past 3 weeks across the country. You think a 18 cent "saving" soon to vanish is a great holiday??

[VicPerry]

the funniest part of your pathetic rejoinder:

"2) Written properly, a windfall profits tax on both oil companies and investors would not allow the creap back to previous profit levels so easily."

Who but "elitists" cares what the profit level is? The savings will not be passed on to the consumer. Windfall profit taxes on the oil companies, hmm? Her and what army.....

Just for the record I have to drive too, I'm poverty line income-wise, 18 cents a gallon is still jack (but in fact the savings are going to be ZERO) , I'm not paying yours, but it does appear you can't add: "a penny drop in gas prices is helpful." Well no, see, it isn't, very, dum dum. Vote for Hillary. Get cash back.

[MJ20]

The MSM, who are about as "elitist" as you can get talk like there is something wrong with those of us who struggled through and managed to graduate college. Life in this economy is a struggle for us too. And with many of the jobs that we go to school for being outsourced via H1B visas to Asian Indian workers (HRC, who is bankrolled by these Indian companies, is a STRONG supporter of the dreaded the H1B visa, by the way), many US college grads are in just as bad a shape as any one else. What the MSM media is in fact doing is attempting to get poor people to vote against their own interests again. They could care less about HRC, who if gleefully helping them, this is about driving a wedge with this demographic for the fall election.

[kirafa]

Maybe most of you are more elitist than the rest. I am from a rural area and .18 cents off the gallon would get more people to work. Would this encourage more driving, are you crazy. At 3.60 per gallon, the people around here aren't going anywhere except to work. Maybe to people whose parents are paying for their education and all else while they are in school, or the upper income white educateds that are supporting Sen. Obama .18 a gallon is not enough. But if you are in a poor rural area and drive 20 miles or more a day to work and cannot afford more than a 10-year old clunker, then you are saving approximately $10 a week and that my dear elitists, is a loaf of bread and a gallon of milk. It is probably not the best solution, but right now something needs to be done and done quick. If you can't understand how $10 a week can help a poor family, I think we have an idea just who the real elitists are.

[jvarga]

Where is the promise that gas prices will go down 18.4 cents a gallon? Of course, the fact that a gallon of milk and a loaf of bread costs $10 isn't a sign of a disastrous energy policy or anything, so what can this hurt, right?

[yogablu]

We need to get you that $10 in another capacity. This scheme will do more damage than good. In fact we need to get you and me for that matter a lot more support when it comes to food, but this is clearly not the way. It's not even a quick fix. Read the post below from standforpeace to get the bigger picture. We are subsidizing the wrong crops and for the wrong reasons...­.primarily junk food. By the way, milk does more damage than good. Grow your own vegetables and get all the protein and calcium you need to thrive. Much, much cheaper and better for the environment and for your body. A healthier body leads to a healthier mind and the ability to think clearer which can lead to better ideas to help you get out of poverty.

[jvarga]

Not to agree with him or her but if people are clamoring for a tax cut that will take effect soon, and they don't care about all the medium to long term negative outcomes, how is telling them to plant a garden going to accomplish anything? "I know you're saying that $10 a week will allow you to buy food, just plant a garden and wait until the end of the growing season."

[rsottong]

I'm an elitist Obama supporter: my husband and I work 7-days a week; it takes me three hours to grocery shop the sales with my coupons in hand; I buy our clothes at the Salvation Army ...

and I believe that this tax holiday will (a) never pass the Senate, (b) be completely counteracted by the oil companies rushing in to make up the 'price drop' and pocket the money themselves, (c) immediately cost construction jobs and (d) perpetuate our slavish-addiction to foreign oil.

I guess that's elitism. McCain is wrong on economics. Clinton is wrong on the gas tax.

[technokitty]

And when the oil companies raise the price .20 cents more?? Not to mention how to pass this boondoogle through congress in less than 8 weeks before summer when only two Senators, McCain and Clinton, support it to begin with...any ideas on how that will happen?? I may be what you think of as an "elitist", me with my college education, (how dare I??) but at the rate of 18 cents off each gallon with a 25 gallon tank that amounts to less than 1.2 extra gallon per fill-up and I do not see how that will get more people to work? In fact, it will cause us to lay off transportation workers to pay for it (Clinton's plan, not mine), causing you to pay unemployment insurance which will cost everybody much more than 18 cents a day. Not to mention adding to our nation debt which is financed by China to give oil companies more profit and HRC the sense that her delusional campaign is winning for a few more weeks. Not sure when the thinking voter that looks at the facts became elitist, but if it has, than I am!!

[jkminwa]

The point is, it wouldn't be 18 cents per gallon, because the oil companies would not be obligated to keep gasoline prices at their current levels. The tax holiday that McCain and Clinton support does not include price caps. And since you're paying $3.60 (lucky you! it's higher elsewhere) now, the oil company knows you'll pay $3.60. So the 18 cents that used to pay for jobs fixing roads, will pay an oil executives' bonus (higher as a reward for this gas tax finagle) instead. Obama isn't opposing the gas tax holiday because $10 per week isn't much, he's opposing it because it won't work.

[Mscharizmaa]

Well, there you have it, more of the same.

[standforpeace]

While I appreciate the fact that Hillary wants to put 30 cents a day in my pocket, I would appreciate it much more if the Democrats starting pushing to increase the income levels at which one could receive food stamps and raise the bar on how much individuals can receive, put in place some extensive and immediate assistance to America's food banks that are on the verge of collapse, and work on providing an additional tax rebate or other financial assistance to struggling American families that are having a hard time buying groceries. Summer is approaching, schools are getting out, and that means that for many children the free and subsidized lunches will end until September. There are American families that are going to go hungry this summer. Stop screwing around with meaningless gestures designed to earn votes and show some leadership now. And that goes for you too Obama. Both Hillary and Barack need to understand that there are Americans who can't wait for January to get some relief. Leadership now.

[Moose49]

1) Bad policy -- enriches the oil companies (they pocket the tax rather than lower prices) and worsens the problem (excessive gas consumption, global warming) over the long run.

2) Bad message -- supports bogus and toxic Republican story line that government and taxes are bad, and that we have the inalienable right to burn as much fossil fuel as we want.

3) Bad politics -- according to the most recent CBS/New York Times poll, voters oppose a gas tax holiday by a 49 -45 percent margin and independents are strongly against one.

Three strikes -- you're out!