GM CEO Encourages Higher Taxes On Gasoline

[lawman]

General Motors Co. CEO Dan Akerson wants the federal gas tax boosted as much as $1 a gallon to nudge consumers toward more fuel-efficient cars
[dailycaller.com...]

We don't need inflation, we have Mr. Akerson.

[thecoalman]

LOL, he's there representing the US Treasury.

Having said that I'd support a moderate increase in the gasoline tax providing every penny went into roads and bridges. It's sorely needed but it's one of those hot potato issues nether side wants to touch with a ten foot pole I can here the campaign ads now, so and so voted to increase the cost of gasoline......

[mhansen]

<open>Can of Worms</open>

[weeks]

I agree with Mr. Akerson on this one, but his timing is not the best, I have to admit. If you want people to use a resource more thoughtfully, raise its price. And the government (while needing to cut its spending, no doubt about it), also needs revenue. A gasoline tax is more fair than many taxes. You can do something about it. Such as, not drive your Mustang SHO to the office every day.

[lawman]

Haha weeks. Mine is labeled "SHELBY" but it is an SVT car all the way. Buck a gallon increase wouldn't bother me that much. I'm already paying almost $13/gallon for C16 on track days and there aren't any highway taxes on that gas! :)

[Leosghost]

I'm already paying almost $13/gallon for C16

I think that may be the same price as the UK members here pay at the pumps for the same volume of regular 95 or 98 petrol ( what you call gasoline )..or we call essence..its about $9.oo per US gallon equivalent here..

Diesel is around $7.00 per US gallon here.

your US gallons are like your booze "proofs"..in reality way smaller and in the case of the booze "proofs" much weaker than they seem at first glance..

[mhansen]

Such as, not drive your Mustang SHO to the office every day

Supercharged (and well-tuned) Mustang 427R here pushing 510hp to the rear wheels, and skunking up about 11 MPG around the city. That's not the point... I only drive it about 2500 miles a year, and when I DO, I shouldn't be penalized just because I can afford to! My "Other Car" gets +30mpg... now what?

The ONLY reason the GM CEO wants it raised is so people will buy his cars and once again, the taxpayer gets to foot the bill to bailout GM. What about when banks don't loan money for cars? What about people who cannot afford a new car? There sure aren't many good used cars around for under $3k... "Cash for Clunkers" took care of that!

We are taxed enough in this country! Instead of raising taxes on gas (because it will generate the fastest due to the sheer number of people who use it), I suggest eliminating the $150 billion for rebuilding Libya, or the latest bailout of $50 billion for Greece. Or how about taking away Nancy Pelosi's (and every other official) private freaking fleet of taxpayer funded military jets, that'll save another couple hundred million per MONTH.

And the government (while needing to cut its spending, no doubt about it), also needs revenue.

Our USA Gov't doesn't need MORE MONEY, they need to reduce non-essential liberal spending and put our own money back into our own country infrastructure and our own pockets for a change!

Lemme ask... when we run out of money in our household at the end of the month, what do we do? Do we look for ways to save, or tell our boss we need another raise, even though they are laying people off? When gas takes another $150/month from your own household... what will you do? Buy a better car? What if you already get +30 miles per gallon? Whats my teenage daughter or my 3 kids in College going to do? Work more hours to pay for gas?

Tired of more taxes... eventually, there will be nothing left to tax!

[koan]

We are taxed enough in this country!

Americans say that.. but the US has one of the lowest taxes among the other developed nations.

[en.wikipedia.org...]

Same with gas price:

[nationmaster.com...]

The national debt won't pay itself.. money has to be found somewhere.. and gas price hike seems one of the most sensible method. People need to learn to value more this limited commodity.

[buckworks]

My "Other Car" gets +30mpg

My gas/electric hybrid regularly gets 50-55 mpg on the highway, sometimes even better if I'm really careful about my driving style.

[Swanny007]

I have a Prius and I don't really care what gas costs. The thing gets phenomenal mileage and I don't drive a whole lot. Bring on an extra buck a gallon, maybe two ;-) That way the folks driving gas guzzlers who don't need to drive them will buy something that's more fuel efficient.

[Leosghost]

My gas/electric hybrid regularly gets 50-55 mpg

What kind of "gallon"? how many litres..

I get 5.2 litres per 100 km with diesel 1.9 litre clio ( small powerful easy to drive car ..lots of room , I'm big ;-) ..mixed urban and freeway ( 30-50kmph urban and 100-110 kmph ) freeway ..

Belay that ;-) ..I just did the math ..if it is a US gallon = about 3.8 litres ..then you get around 4.75 litres per 100km..

My clio has 300,000 kms on the counter ..about 187,000 miles..they are good for at least another 200000 kms.

[piatkow]

My gas/electric hybrid regularly gets 50-55 mpg on the highway, sometimes even better if I'm really careful about my driving style.

My petrol driven car managed 51 (imperial not US gallons) for long distance driving last weekend.

My "Other Car" gets +30mpg... now what?

I could do that in a Lada with some careful driving 30 years ago.

[engine]

For those of us that live out in the countryside we have to use the car. I've been buying smaller, more fuel efficient cars as a plan to make it cost-effective to continue to travel by car.

Latest car gets around 42mpg (average).

What car will I get next? Would it be a GM car? Right now I have no idea. It'll have to be as fuel effcient as possible. Importantly, too, a newer engine pollutes less, and that's on my list of requirements. UK Road Tax is based upon vehicle polution levels. Gas guzzlers pollute more, so they pay more Road Tax.

Generally, higher fuel taxes hit those that live in the country harder than those in the city. Invariably because the city dwellers don't need to travel far just to get to the local store.

Back in the day before motor transport was commonplace, there were local stores providing for food from local suppliers. Many local stores have closed since the out-of-town superstores took over.

I can see a return to localization as the price of transport rises and people use their cars less.

[piatkow]

I saw a comment recently that the cost of driving in the UK is actually falling as engine efficiency is out stripping the rise in petrol duty. I have no idea if that is true but I do know that I get around 20mpg more with my current vehicle than with the first car that I owned over 30 years ago.

Back in the day before motor transport was commonplace, there were local stores providing for food from local suppliers. Many local stores have closed since the out-of-town superstores took over.

Unfortunately the supply chain has changed so much that locally produced food may still have to travel. A local farm curing its own bacon may have to send the pigs to a slaughterhouse over 100 miles away.

[weeks]

Lawman, I could agree with you on the need of government to cut costs, etc. But that's not the point. There is a need for taxes–we can argue about what should and should not be funded. But a tax on fuel is a smart way to have taxes AND have a positive public policy. We want people to save energy. No one argues with that. So, make energy, especially oil, more expensive and stop importing so much oil.

You are obvious comfortable with the status quo. You've got yours. I strongly suspect that you earned it. But, we need to make this change. It will require some adjustments. But, it's good domestic policy and it's good foreign policy.

[LifeinAsia]

My "Other Car" gets +30mpg... now what?

Get a bicycle. Mine has over 10,000 miles on it- never filled up once. :)

[wheel]

We want people to save energ

No, we don't.

The gov't can throw up a couple dozen nuclear power plants and we can all drive around in electric cars and tell the ME, South America,Canada, and Texas what they can do with their oil. There's all the energy we need, cheap and easy.

There's lots of energy. And lots of people preventing us from using it.

[lawman]

Lawman, I could agree with you on the need of government to cut costs, etc. But that's not the point. There is a need for taxes–we can argue about what should and should not be funded. But a tax on fuel is a smart way to have taxes AND have a positive public policy. We want people to save energy. No one argues with that. So, make energy, especially oil, more expensive and stop importing so much oil.

You are obvious comfortable with the status quo. You've got yours. I strongly suspect that you earned it. But, we need to make this change. It will require some adjustments. But, it's good domestic policy and it's good foreign policy.

Not sure what you're reading into what I wrote. I'll be plain. I'm not much into social engineering through taxation. If the price is perceived to be too low on a product, people will use more of it. Too much of that will create a shortage of the product. Then prices will rise until the shortage disappears. As to oil, high prices will result in more exploration and ... well you probably know all this as well as anyone else.

I happen to believe that in the not to distant future, gas prices will rise considerably and stay there.

For those who want revenue for infrastructure, why not privatize roads/bridges and let those who use them pay for them.

Nope, not a big fan of taxes.

Finally, I don't know why you want to make this personal by commenting on my car and telling me that I've got mine. Some actually like to hear about it. I know I like to hear about others' cars. However, if it bothers you I'll keep the car talk to the car forums I hang out on.

[wheel]

I'm not much into social engineering through taxation.

That's a somewhat gruesome, though accurate, way of putting it. I don't like the idea of my being social engineered, particularly by either politicians, or by popular ideas put forward by the public.

I'm reminded of the song Red Barchetta by Rush :).

[martinibuster]

they need to reduce non-essential liberal spending

The fact is we can reduce many of those things but it won't make an impact. You have to dig in hard and start picking away at Social Security benefits. Everything else is a fantasy, including reducing "non-essential liberal spending." That's empty sloganeering.

the taxpayer gets to foot the bill to bailout GM.

We're getting paid back. Saving American jobs is a good thing. Propping up Iraq or Afghanistan doesn't look like a good idea but it is in our OIL interests to help keep the region stable and U.S. friendly.

Those slogans are wool over taxpayers eyes. It's meant to make us feel there is something to do, it's meant to hide the truth. The real scandal those on the right don't want us to contemplate is multimillion dollar American corporations paying little to zero taxes. It's time we stopped carrying them on our backs and made them pay their fair share. I pay my taxes. Those fat cats should pay their fair share, too.

I'm against raising the taxes on oil. That's just another tax on the regular folk.

[Rugles]

Lemme ask... when we run out of money in our household at the end of the month, what do we do?

Perhaps sell your summer home in Baghdad!

That would be a good start at balancing your budget. If you want to keep that summer home, then you will need to increase your revenue.

It's your choice.

--------------------------------

While in theory I am in favour of taxing gasoline to remove the incentive to live 40 miles from your workplace and get a vehicle with poor millage. Now is not the time. Perhaps phase it in over a decade so the public can make adjustments.

[thecoalman]

The national debt won't pay itself.. money has to be found somewhere.. and gas price hike seems one of the most sensible method. People need to learn to value more this limited commodity.

Roads and bridges are crumbling across this country, many of the bridges for the Interstate were built 50 years ago for example. The costs in the coming decades is given in the trillions. Any new taxes on gasoline must be spent on maintaining and building infrastructure. This is why I would support a moderate increase in the taxes as long as they were all spent on infrastructure.

[edited by: thecoalman at 12:02 pm (utc) on Jun 11, 2011]

[thecoalman]

I have a Prius and I don't really care what gas costs. The thing gets phenomenal mileage and I don't drive a whole lot. Bring on an extra buck a gallon, maybe two ;-) That way the folks driving gas guzzlers who don't need to drive them will buy something that's more fuel efficient.

Enjoy it while you can, you realize you are being subsidized by gasoline powered vehicles? Gasoline taxes pay for the roads, bridges and other unrelated transportation projects. I've already heard mention of Washington state wanting to implement a flat yearly tax on electric cars of something like $300 which is far too little. As taxes on gasoline dwindle it's inevitable and necessary those taxes will made up elsewhere like a mileage fee, ultimately that would be the fairest way to collect it. A formula based on the cars weight and mileage driven would be ideal, heavier vehicles do more damage.