Let me say that I think this is the first time that I have ever agreed with Charles Krauthammer about anything. Usually I skip right over his rants without even reading them. But when I saw the title of this one, I gave it a read. Very interesting indeed.
Tax and Drill
Here is a bit from the article. In it, Krauthammer is proposing that we set a ceiling on gasoline prices and that anytime the market price falls below that ceiling, the government collect a tax equal to the difference between the market price and the ceiling. The idea is to keep the price of gasoline high enough (regardless of OPEC manipulation) so that consumers are encouraged to (gasp!) conserve. It also has the double benefit of revenue for the federal government.
The idea is for the government -- through a tax -- to establish a new floor for gasoline, say $3 a gallon. If the world price were to rise above $3, the tax would be zero. What we need is anything that will act as a brake on consumption. Since America consumes 45 percent of the world's gasoline, a significant reduction here would bring down the world price.
Gee, didn't Cheney say something along the lines of "conservation is not an option?"
Its heartening that some conservatives understand the relationship between high gas prices and gas guzzling SUVs
If he had only tied in the problems in the Middle East..............Nah, too much to ask.