Tax Cuts, Gas, and You
Fri May 18, 2007 at 07:44:50 AM PDT
The following post is an analysis of the benefit of the Bush tax Cuts, when taking into consideration the rising cost of gas due to the mid-east conflict.
In 2005 the average american drove 13657 miles. The PEAK price of gas in 2000 was 1.7469$ (adj for Inf), and the average price of gas now is 3.16$ (MSNBC). The average MPG for a decent mid-sized car is 25mpg. You can figure out how bad much of this would be if the subject drove an SUV... or two.
Let's assume it's a fairly decent/average car and gets 25mpg
2000 950.53$
2007 1719.43$
Diff 768.90$
Taxes (adjusted for inflation from 2001 to 2006)
Income Group average tax cut Tax cut After gas price increase
lsthan(21%) - 74.74 + 694.16
21-40% - 424.64 + 344.26
41-60% - 679.42 + 89.48
61-80% - 1161.81 - 392.91
81-95% - 2529.72 - 1760.82
96-99% - 3787.78 - 3018.88
Grtr(99%) - 60154.94 - 59386.04
Boy, that top 1% sure is doing well.. only 1% of their tax cut was, well, eliminated... where as the bottom 21% are paying back their tax cut-- 9 times over.
Of course, this is chump chnage in the end... Even though it's obvious at this point that the bush tax cuts couldn't possibly stimulate the economy when we are 'taxing' the 'vast majority' of the country with Corporate Taxes (Gas prices)...
If stimulation of the economy were truly Bush's concern, we wouldn't be in a war that would be costing each American head 20,000$, and countless more dollars after adjusting for the cost of interest later on down the road... and the billions that will be spent in caring for those injured in the war, or the countless dollars that will be spent trying to make America safer, after Bush created the most powerful terrorist recruiting tool since the foundation of Israel...
What's next?
====Sources====
Gas Prices
http://www.terryfrazier.com/...
Miles Driven per year
http://www.cera.com/...
Average MPG
http://www.lisashea.com/...
Tax data
http://www.ctj.org/...
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