Keep our Energy Money Home

It isn't often that I find myself reading a Charles Krauthammer column in the Washington Post and actually nodding in agreement. But just the other day, he wrote a column called "At $4, Everybody Gets Rational," in which he calls for a significant increase in the gas tax. The argument really is simple, as Krauthammer puts its:

"Want to wean us off oil? Be open and honest. The British are paying $8 a gallon for petrol. Goldman Sachs is predicting we will be paying $6 by next year. Why have the
extra $2 (above the current $4) go abroad? Have it go to the U.S. Treasury as a gasoline
tax and be recycled back into lower payroll taxes. "

The problem is that when it comes to gas or energy prices, nothing is simple. We have our elected leaders to blame in a lot of ways because they constantly tell the American people that we have some kind of God given right to cheap energy. Case in point - John McCain and Hillary Clinton calling for a gas tax holiday to lower the price at the pump this summer. There are thousands of other examples. Instead of educating people about the true cost of energy, our elected leaders seem to feel much more comfortable telling people what they think they want to hear ("vote for me and I'll lower your energy bill"). Then, when the very good idea of an increased gas tax comes up, these very same politicians turn around and say, "that's not possible because the people will never accept that." Hmmm... wonder where the "people" got that idea.

Coupling an increased gas tax with a lower payroll tax makes a lot of sense. It would be a great way to help reduce our dependence on oil and lower the greenhouse gas emissions that cause global warming. Now all we need to get this done are some elected leaders willing to do the right thing.