Minnesota's in the Middle

All things Minnesota politics

Wednesday, August 16, 2006

How to decrease gas prices?

A basic understanding of economics tells us decreasing the gas tax will do next to nothing toward decreasing the price beyond the initial phase. The other option, then, is to increase gas prices. By directing more of the money we pay for gas back into our roads and other transportation options, we get an immediate benefit. Good roads and alternative transportation options mean better fuel efficiency, which will slow demand. A sudden price increase also will do more to get people to change their driving habits rather than the current 3 to 6 cent a month up and down roller coaster we are currently riding.

While I can't say a 25 cent federal gas tax increase would ever decrease gas prices, I do know we would be getting our 25 cents worth, and it would not increase gas prices beyond where we're already headed. Mark Kennedy's plan has all the feel of special interest money influence, John Binkowski's plan sounds like a well thought-out plan to make this a better place for all Americans.

Meanwhile, the DFL is spinning that Binkowski is making a promise he can't keep because he favors the oil companies. The DFL either doesn't understand basic economics, or thinks the public is really dumb. Do these two parties (DFL & GOP) really think we are THIS dumb? The fact that we would rather pay $2.00 a gallon doesn't mean we would blindly support silly legislation. It's real simple: the higher the gas tax, the worse the oil companies do; the lower the gas tax, the better they do. If Mark Kennedy and Amy Klobuchar are qualified to go to Washington, they should prove they have the honesty and intelligence on this issue that the public demands. Something tells me they are ready to demonstrate they are not qualified to go to Washington, and without a strong common sense third party, that might be their ticket to the U.S. Senate. But with Robert Fitzgerald in the race, as well as John Binkowski in the 6th district, enough people will see through the DFL and GOP on this issue that it will create an opening large enough to drive a bus through. As soon as Robert Fitzgerald hits 15% in the polls, the race is over and he is our next U.S. Senator - unless his opponents get real honest real fast.

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