Comments on: Republicans vs. Democrats on Gas Prices

By: Kevin Leech

Kevin Leech — Thu, 12 Jun 2008 18:12:00 +0000

If oil companies only get about .08 cents per gallon, why has there profit rose so much. Are we some how using three times more gas.

By: Samuel Skinner

Samuel Skinner — Thu, 12 Jun 2008 18:00:04 +0000

For those of you that don’t know the prices are overwhelmingly determined by foreign sources- domestic production peaked in 1970.

The reason it is so expensive? High demand and a weak dollar. Yep, borrowing 3 trillion dollars DOES have an effect on the economy.

By: TR

TR — Wed, 11 Jun 2008 19:46:27 +0000

Yes, the tax would be cut, but b/c it’s only for a few months, it doesn’t really count towards the government sacrificing as much as they are asking big oil to give up.

And yes, big oil might pay taxes on the 6%, but they pass that on the consumer. Which is what caused the big uproar over the Liberman-Warner bill that was shot down yesterday. That bill would have taken away the tax breaks of oil companies. But they would simply pass their loss on to the consumer, which is their duty to the stockholders, resulting in $10 – $15 per gallon.

By: Jimmie

Jimmie — Wed, 11 Jun 2008 19:42:55 +0000

Given what John McCain said today, you can put him on the left side of that chart. it’s going to be a tough row to hoe if Republicans have to battle their own nominee on this.

By: kimsch

kimsch — Wed, 11 Jun 2008 18:45:37 +0000

The Republicans do cut the federal tax – at least for a gas tax holiday – it’s on the chart. Federal gas tax is 18¢, profit is 6¢ and, as Chad notes above, the oil companies pay taxes on that 6¢ as well.

By: Brian

Brian — Wed, 11 Jun 2008 18:21:06 +0000

It’s even worse for diesel. I believe the current rate is 24 cents per gallon for federal tax.

By: Chad D

Chad D — Wed, 11 Jun 2008 18:02:18 +0000

Wrong! The government doesn’t just get .16 pergallon, they al.so get ~30% of the .08 profit in income taxes.

By: Republicans Fight Back on Gas Prices | The Hinge Of Fate

Republicans Fight Back on Gas Prices | The Hinge Of Fate — Wed, 11 Jun 2008 16:55:52 +0000

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