Letters to the Editor

This letter is associated with the following article:
Read other letters about this article
Obama is wrong about the gas tax
Think Clinton's plan to suspend the gas tax temporarily is a bad idea? A similar measure in Illinois -- which Obama backed -- seems to have helped consumers.
By George Frost [2008-05-06]

  • It would be nice if the author could get his facts straight

    I followed the link about gasoline inventories and it said,

    "In recent weeks, gasoline inventories have fallen sharply".

    Therefore, Mr. Frost seems to be in error when he wrote "Gasoline inventories are currently very high, and these surpluses can absorb much of any increase in demand."

    If Mr. Frost had even a basic understanding of economics, he would know that refineries build up inventory in the spring to prepare for the increased demand of the summer driving season. This is clearly demonstrated on the inventory graph seen on the link Mr. Frost helpfully provided, but apparently did not actually read.

    Gasoline supply remains inelastic, therefore tax cuts will only increase demand, prices will increase, and oil companies will profit. A gas tax cut in Illinois 8 years ago is not comparable to a national gas tax cut today. Illinois uses only a fraction of the nation's gasoline supplies and the effect on local prices from a state (not national) tax cut would be different.

    Perhaps Salon should look harder for an author who reads his own sources.

    -- Dr Dr
    [Read Dr Dr's other letters]
    Monday, May 5, 2008 07:14 PM
Read other letters about this article

Letters Help