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Can't we all get along? Do all Peak Oilers favor a gas tax?

Discussions about the economic and financial ramifications of PEAK OIL

Re: Can't we all get along? Do all Peak Oilers favor a gas

Unread postby Curlew » Sun 15 Jul 2007, 05:58:04

$this->bbcode_second_pass_quote('bshirt', '')$this->bbcode_second_pass_quote('Jack', 'I') can assure you that not all Peak Oilers favor a gas tax. I, for one, don't care for additional taxes.

Add me to your list, Jack.
More taxes to a politician is like more gravy to a pig. They'll never, never, never get enough.


I just wondered how many of you on here, who are completely against taxes for a controlled reduction in consumption, are connected to the oil industry in some way - be it investors, workers or even politicians?
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Re: Can't we all get along? Do all Peak Oilers favor a gas

Unread postby bshirt » Sun 15 Jul 2007, 17:39:33

$this->bbcode_second_pass_quote('Curlew', '')$this->bbcode_second_pass_quote('bshirt', '')$this->bbcode_second_pass_quote('Jack', 'I') can assure you that not all Peak Oilers favor a gas tax. I, for one, don't care for additional taxes.

Add me to your list, Jack.
More taxes to a politician is like more gravy to a pig. They'll never, never, never get enough.


I just wondered how many of you on here, who are completely against taxes for a controlled reduction in consumption, are connected to the oil industry in some way - be it investors, workers or even politicians?


I assure you I am not and have never been a politician, investor or worker for the oil industry.

I'm simply a tax-payer who is sick to death of having some bloated, brain-dead, centralized bureaucray put a gun to my head to steal the sweat off my back.

To add insult to injury, to see endless examples of tax dollars being pissed in the ocean via yet another mob-rule politician simply makes me desperately yearn for TSTHTF.

I wonder how collectivist fans like you, Curlew, are going to survive PO when you can no longer vote to steal other's money?
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Can't we all get along? (I hope so)

Unread postby phaster » Sun 15 Jul 2007, 20:41:57

YES if politicans and people realize a tax IMHO is suppose to serve two functions:

1) collect revenues for wise use by the government

2) send signals to the consumer to select the most economic mode of a product....

right now with US fuel taxes being so low in compairson to places like europe, people bought lots of fuel inefficent vehicles like SUVs and the big three US companies gladly produced them...

So I'd favor, a gas tax of say $2.00 plus right away and be indexed every few years to adjust for price changes, if the money collected was used ONLY for building up a sustainable economy (like what the german government does right now with their push to build up a solar panel industry) or building up public transportation infrastructure which can serve the dual purpose of improving public transportation and making transporting goods more environmentally friendly.

There no doubt a sudden increase in taxes would cause major short term economic pain, and politicans and corporations use to the status que would view this as political/economic suicide, but the eventual cost of not taking major action now would be far worst.

As it stands even though the USA lags far behind in addressing global warming/peak oil issues when compaired to the EU and japan, it has far more resources than developing economies like china/india so IMHO the only way the big problems of global warming/peak oil is if the policy leaders in washington DC (who so far have not had the balls or brains to confront the issue head on), actually setaside their BS pandering to their base and take decisive action!!!!!!

Yeah I know lots of people would bitch (myself included) about sudden and major increase in fuel taxes, but I'd hope if people fully understood the problem and US politicans had an honest discussion about the facts and looked at the pig picture that we only have one planet to live on, then I think people would see the long term benefit (or at least that is what I'd like to believe).











$this->bbcode_second_pass_quote('Daryl', 'T')alking about the US of course. If I'm not mistaken the current gas tax is 40 cents a gallon. The proceeds go to highway maintenance? The best proposal I have heard so far is too peg gas at $3 per gallon (its post Katrina high, since it has fallen back to $2.) The wholesale price would fluctuate, so the tax revenue would be variable. Of course, if the wholesale price went above $3, the price would have to go up.

This idea has been proposed by Charles Krauthammer, a Washington Post columnist who is considered an major neo-con Republican insider. This was in the Nov 11 issue of the WP.
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Re: Can't we all get along? Do all Peak Oilers favor a gas

Unread postby MonteQuest » Mon 16 Jul 2007, 01:08:28

A gas tax to curb consumption would have to be high enough to destroy the economy.

People will cut other consumption before driving less. We are seeing it now.

Driving is considered an essential.

How high would the price of air or water have to go before you drank or breathed less of it?

We will put our last dollar into the gas tank.
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Re: Can't we all get along? Do all Peak Oilers favor a gas

Unread postby joewp » Mon 16 Jul 2007, 02:08:42

$this->bbcode_second_pass_quote('MonteQuest', 'A') gas tax to curb consumption would have to be high enough to destroy the economy.


Not only that, it would only affect the poor and middle class. The rich would still drive as a status symbol, and damn the cost.

About the only way to "get along" with the most people surviving (for a time) is to tell people the truth and advise them to start to take care of their needs locally. Needs like food, clothing and shelter.

That ain't gonna happen.
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Re: Can't we all get along? Do all Peak Oilers favor a gas

Unread postby perdition79 » Mon 16 Jul 2007, 02:50:41

A gas tax wouldn't postpone any crash scenario. Remember Jevon's Paradox. We cut our consumption of gasoline by 25 percent, an oil surplus happens and the price of crude drops. China buys up that oil at a cheaper rate, builds their industry that much quicker, and their increased industrial production consumes even more oil, raising the price in the long term. Thus America's conservation efforts would ultimately hurt America. Jevon's Paradox really is a perfect catch-22, isn't it?
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Re: Can't we all get along? Do all Peak Oilers favor a gas

Unread postby MrBill » Mon 16 Jul 2007, 06:28:45

$this->bbcode_second_pass_quote('perdition79', 'A') gas tax wouldn't postpone any crash scenario. Remember Jevon's Paradox. We cut our consumption of gasoline by 25 percent, an oil surplus happens and the price of crude drops. China buys up that oil at a cheaper rate, builds their industry that much quicker, and their increased industrial production consumes even more oil, raising the price in the long term. Thus America's conservation efforts would ultimately hurt America. Jevon's Paradox really is a perfect catch-22, isn't it?


As I have said before, Jevon's Paradox is just Supply & Demand Curves for Engineers. But if it was a perfect Catch-22 then it would not raise the price in the long-term. As soon as price reached its equilibrium pre-American cutting back, Chinese production would fall back off cutting demand again. Therefore, it is not a paradox at all, but increased demand leading to higher prices as demand exceeds supply. Like anyone would predict given demand for energy is unlimited and its supply is finite. And the reason it cannot stay at its equilibrium price is that the economic gains from using petroleum exceed its cost. Once its marginal cost exceeds its economic gains marginal demand will fall to zero.
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Re: Can't we all get along? Do all Peak Oilers favor a gas

Unread postby Bas » Mon 16 Jul 2007, 06:59:48

Jevons Paradox was only relevant up until the production peak. As we can't increase our production of oil anymore any efficiency gains cannot lead to more consumption anymore.
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Re: Can't we all get along? Do all Peak Oilers favor a gas

Unread postby Curlew » Mon 16 Jul 2007, 07:21:31

$this->bbcode_second_pass_quote('bshirt', 'I') assure you I am not and have never been a politician, investor or worker for the oil industry....I wonder how collectivist fans like you, Curlew, are going to survive PO when you can no longer vote to steal other's money?


Sorry to upset you like this, BShirt, not sure what you mean by collectivist. I am trying to ascertain the truth about about Peak Oil - I am a convert but I want to make sure that all my ducks are in a row before I go shooting my mouth off in the UK. To do this I have to sort out the motivations behind those of you on PO, and to make sure I am not inadvertantly bigging up the oil price for another's benefit - clearly this isn't yours.

Why am I advocating tax? - in the UK we are shielded from some of the price rises at the pump - there is a fixed duty which is not linked to the core price. For the average commuter in the UK who does about 30-40 litres a week the recent increases have meant to us about GBP1.50 per week. Without the tax we would all be driving around in SUVs and that hike would probably be tripled.

But leaving it to market forces means fertiliser and feedstocks get hit with the price rise - in my view the US would better off in reducing private petrol consumption and ensuring other uses of oil are not too badly affected?

Again - no intention to offend :(
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Re: Can't we all get along? Do all Peak Oilers favor a gas

Unread postby bshirt » Mon 16 Jul 2007, 11:11:57

Curlew;

I too sincerely apologize for the harsh words.

I have no clue how things are in the UK, but here in the US for several decades we Americans "LOVE" to vote for tax, tax, tax.....as long as it's perceived it's "someone else" who gets hammered.

I'm sure you British wonder why we revolted originally when "taxation without representation" is a defacto way of life here? It's a quick and easy way to steal other's money via mob rule.

Doesn't make a lot of sense, huh? :-)
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Re: Can't we all get along? Do all Peak Oilers favor a gas

Unread postby MonteQuest » Mon 16 Jul 2007, 12:45:07

$this->bbcode_second_pass_quote('Bas', 'J')evons Paradox was only relevant up until the production peak. As we can't increase our production of oil anymore any efficiency gains cannot lead to more consumption anymore.


No, but it can lower the price relative to what it would have been otherwise as efficiency gains do increase available existing supply.

Even at peak oil, Jevons' Paradox has it's effect by muting demand destruction through lower prices as a result of efficiency gains stretching supply.
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