Thursday, April 27, 2017

Gas Tax Deere

          Gasoline causes a lot of problems for the environment. So, as the prices drop it's a great time to raise the taxes on gas for pollution. When people buy gas more money can then go to roads and such. "And while certain taxes disincentivize, to some degree, things we like (such as work or investment), the gas tax, by raising the cost of driving, gets us less of things we don’t like (pollution, carbon emissions, and road wear) (Surowiecki, The New Yorker, 2015)."  So a gas tax wouldn't do any harm when the price is low, it would actually help with pollution.
           A gas tax might also make everything more expensive. When the gas tax is raised the cost of driving is too. "A gas tax hike will increase the price of consumer goods. The transportation of goods is primarily done via highways. Cars drive on highways and gas fuels cars. It’s a no-brainer that raising the gas tax will cost drivers more to fuel their way to deliver goods. Higher gas taxes, leading to higher gas prices will mean a higher cost on goods (Boone, atr.org, 2015)." So a higher gas tax means higher price for everything which affects everyone, but poor people the most as a gas tax would be a regressive tax which would be terrible for everyone even though it might barely help the environment.
            I believe gas tax would not help because of the ability to pay reason. When the gas tax is put in to place it raises the price to drive and thus the cost of all things transported by road are also raised. A tax on gas would be a regressive tax which would affect poor people's ability to pay for everything, gas and all things transported that way. Even if a tax would help with pollution the economy would sink through the ground because of inflation and higher prices on everything. So a gas tax would do only mostly harm for what it would to the economy even though it would slightly help with the environment and pollution. 

2 comments:

  1. I agree with your position, but the middle class are the ones who drive the economy. It would hurt them a whole lot more than the lower class. I don't think it's really the ability to pay either, people are gonna pay for it either way, it's more of business effiency and not having money to go to other business.

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  2. I totally agree with your stance, but one might disagree by saying that ability to pay is the reason why it would be good. When people don't have the ability to pay for gas they will then not use there car as often which in turn helps the environment.

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