The gas debate has been heating up and no where is this more evident than on Hardball. Although I do not watch this show for obvious reasons, I did hear excerpts on the Randi Rhodes show yesterday. On Monday, one guest was a Congresswoman from Tennessee, Marsha Blackburn. She revealed the latest Republican talking point and I was dumbfounded. I thought, if Republicans can sell this one, these Eskimos (Republican voters) need to stop buying ice.
The latest talking point focuses on "environmental extremists" being the cause for the surge in gas prices. This argument is so pathetic it is not even laughable. If "environmental extremists" were indeed responsible for the price increase, it would be reflected in one of two ways: 1) as a tax. The government would impose a tax on gasoline to offset the cost of the environmental damage or to offset the cost of preventing environmental damage. Neither is the case as federal tax on gasoline is 18.4 cents per gallon. If this is combined with state and local taxes, it would equal about 50 cents per gallon. This amount has not changed in recent years; therefore, could not result in a price increase at the pumps. 2) Oil companies would incur increased expenses due to compliance with strict regulations. This would be reflected as an expense of doing business. This added cost would be passed to the consumer and their profits would remain fairly constant. This is not the case. Their revenue has increased dramatically with their expenses remaining fairly constant; therefore, their profit has increased dramatically.
We need to shut this argument down as soon as possible. Anyone living in this Congresswoman's district should be appalled and needs to write a letter to her. We, the public, need to demand that Congress not defend the oil companies as they gauge the consumer. If anyone out there ever hears this argument presented to them, please correct that person immediately. The public needs to know exactly why gas prices are so high.
On a more positive note, I actually prefer gas prices to be high--I just think it should be due to a tax not for the purpose of increasing profits for Exxon. High gas prices have caused more carpooling, more people to buy hybrids (I just bought a Prius last week), and more people to eliminate unnecessary trips. This is good news for the environment. If there were a tax used exclusively for research and development of renewable energy sources, we would be well on our way to being free from foreign oil.