TBO.com - TBO is Tampa Bay Online

Suncoast Pasco News

Taxing Logic

ADVERTISEMENT

RALPH JENNET

Published: May 10, 2008

Editor:

Your readers are blaming the president for the high price of gasoline and calling for higher taxes on the oil companies.

Someone give me an example of a commodity that got cheaper and more plentiful as a consequence of increasing taxes on the companies that produce it. The cost of crude oil is set by bidding on a worldwide open market, not by the oil companies.

The consequence of higher taxes would almost certainly be higher costs for fuel; companies are very efficient at passing along costs to the consumer and taxes are part of the cost of doing business.

The president has consistently called for opening a tiny part of the Arctic National Wildlife Refuge for drilling. The Department of the Interior has estimated that we could produce 1 million barrels of oil a day from ANWR for up to 40 years. The Democrats in Congress, however, are afraid that some caribou might be inconvenienced if we drill there and they block every attempt to open it for drilling.

Congress also continues to block production off the coasts of Florida and California, apparently preferring instead the high cost of fuel and the opportunity to blame someone else for it.

Ralph Jennett
New Port Richey

Share this:

Loading Comments...

Email Print

ADVERTISEMENT