At least one faction at env-econ is agreeing with The Economist on gas, er, petrol, taxes. From the Big Picture (Oiloholics):
Here's what The Economist had to say:
"The best long-term solution—for America as well as the world economy—would be higher petrol taxes in the United States. Alas, there is little prospect of that happening. America, unlike Europe, has preferred fuel-economy regulations to petrol taxes. But even with those it has failed abysmally. These regulations have been so abused that the oil efficiency of its vehicles has fallen to a 20-year low. This week, the Bush administration announced proposals for changing the fuel-economy rules governing trucks and sport-utility vehicles, but failed to close loopholes that allow these gas guzzlers to use more petrol than normal cars, a shameful concession to carmakers.
America and China, in their different ways, are drunk on oil consumption. The longer they put off taking the steps needed to curb their habit, the worse the headache will be. George Bush once learned that lesson about alcohol. It is time for him to wean America off oiloholism too."Quelle surprise . . .
After a weekend in Raleigh listening to outdoor music with friends, I understand the -oholism analogy.
Also, high gas prices are starting to hit home. It took a full tank to drive the 5 hours round trip. At $2.69/gallon for unleaded regular, it cost $51 to fill up the tank. Ouch-ee.