Much to be desired from McCainonomics
By Steve Benen Tuesday Apr 15, 2008 7:30amA couple of weeks ago, John McCain, in a high-profile speech, unveiled his response to the mortgage crisis. After it was universally panned as a bad joke, McCain scrapped his own proposal and tried again. Considering the Republican candidate’s admission that he doesn’t understand economics, it was an inauspicious start to unveiling his economic policy agenda.
Yesterday, McCain took the next step, presenting his ideas on taxes. Yesterday’s presentation left much to be desired, but it’s that “gas-tax holiday” that has everyone scratching their heads.
As a matter of politics, it sounds like a possible winner: over the summer, when demand is at its peak and gas prices are on the rise, McCain wants to shave 18 cents off the price of a gallon of gas by temporarily waving federal taxes. It would cost $11 billion a year.
This is a remarkably bad idea.
The federal gasoline tax represents a flat fee of 18.4 cents a gallon nationwide. With gasoline currently averaging $3.39 a gallon, the tax represents a mere 5 percent of today’s pump price. While that’s not trivial, consider that gasoline prices have more than doubled since 2004.
The problem is that lowering gasoline prices at the pump would encourage more consumption. So in the long run, it would push prices up.
For that matter, federal gas taxes go towards rebuilding and maintaining roads and highways. Cutting the gas tax would mean less investment in infrastructure — a very dangerous approach right now — and fewer jobs.
So, the provocative centerpiece of McCain’s big, new tax idea stimulates gas consumption, raises the price of fuel, undermines his own environmental agenda, weakens U.S. infrastructure, and would cost thousands of jobs.
McCain recently acknowledged, “The issue of economics is not something I’ve understood as well as I should.” If only he didn’t seem so anxious to prove it, I might have a little more confidence in his competence.
Login or Register to post comments.
If this is the best McCain and his lobbyist staff can come up with, he better sharpen the knives. He has a losing position on every Policy in the world. Not just for me, but for the vast majority of voters. He is going to have to run against a communist alQaeda financier to have a chance.
I say F.U. to all those who drive an FUV
The problem is this:
http://talkingpointsmemo.com/archives/189278.php
WTF?? Why does McSame get such a free pass? To me, this is proof that a lot of people don't see McSame as Boosh's 3rd term.
How about a GOP Fiscal Policy Holiday...say for about 12 years.
Not to mention that he's not even president "this summer" so he has no control over his own proposal. What a maroon!
As much as I would like to see a "gas tax holiday", I would have to ask the Senator how could our Government make up for the lost revenue from your "holiday", how much lost revenue will you forego in you quest to throw all of the Repug debt onto the next generation.
McCain admitted he didn't know as much about economics as he should. which currently describes 100% of the politicians in office at the moment.
That admission is and will continue to be the obligatory bookends of every bloggers discussion of the subject for the forseeable future.
Lead with it- end with it. Pretend the target audience has never heard the admission. Then feign surprise at being called condescending.
Why don't we just pass the tin cup around the globe like the beggars we are.
Regarding Joe Klein's Conscience's* post, which for those who didn't click shows a poll finding that people think McCain will "manage" the economy better than either HRC or BHO, I would say that the main reason people give that answer is that Hillary has spent the past weeks attacking Obama using Republican propaganda, including frequent praise of John McCain; while Obama has spent them trying to fend off these attacks. The corporate media have, naturally, adored this spectacle, amplified it, and joined in the game. Under the circumstances, of course McCain gets a completely free ride.
*Evidently the voice of nothing?
There is nothing more dangerous to world peace than a economically destroyed nation with a huge weapons arsenal.
How about we click our heels together three times and repeat, "There's no place like home, there's no place like home".
Trouble is, this is the kind of short sighted approach that the ignorant voters like. They can't see long term effects any better than McCain.
The real problem is that our current model of the economy is based on never-ending expansion. You can only take it so far before it collapses. The weak dollar is the cause of the oil price hike, and it's a downward spiral. The more money that gets printed to fix the problem (deficit spending, economic stimulus packages etc) the worse the problem becomes.
The only long term solution is to come up with a new economic model based on stability, not expansion. This will have to take demographics into account, not rely on government spending, and eliminate the concept of the rich getting richer. Using paper money to make paper money doesn't cut it. Is anybody going to fix this? Don't hold your breath.
Its amusing to watch this doddering old fool and his handlers try and appear unique or with original thought. Time to pull those John Kerry flip flops out of the closet and repaint them red for ole braindead Sid. MC Cain is just anxious to bang the last few nails into the middle classes and American democracy's coffin. Don't be fooled.
If the Feds drop the gas tax by 18.5 cents, I foresee an 18.5 cent increase in the wholesale price of gas. Wonder how much they'll donate to McCain?
As that tax pays for road maintenance, lets call it the I-35W Bridge Collapse Memorial Tax Cut.
Liberal AND Proud @ 10:
And an arse at the helm.
Liberal AND Proud @ 10:
How about we use that military might to invade some small middle eastern countries with a lot of oil, and then we can fix the ecomomy? How could it fail?
What a joke. Cutting the quasi non existent gas tax in the US would do little or nothing to the pump price. One of the reasons that Europe is not going down the toilet like the US is that the combination of existing high taxes on gas, plus the vertiginous fall of the dollar means that while oil prices have increased from $28 to $112 a barrel under Dubya's reign, the European pump price has increased from about Eu 1.00/litre to Eu 1.45 /litre. When you take into consideration that in general European cars use about 50% of the gas per mile as American gas guzzlers, then everybody bitches a little and gets on with their lives.
Americans are so screwed by their own hubris!
The ASCE estimates $1.6 trillion to fix US infrastructure over five years. I can think of somewhere that at least ~$1 trillion was blown in the past five years, which could've covered more than half the infrastructure bill.
McSame is about as bright as Dumbya.
The more McCain opens his mouth, the worse he makes himself seem. Keep telling us your big plans for the country. His party's only chance lies in just keeping this bastard making vague promises, smiling and talking about winning and patreeyit-ism. Speaking his mind just lets everyone know that this man is just as big of a fool as Dubya.
Once again, I must differ with John when he says "[t]his is a remarkably bad idea." It's actually a very, very good idea IF your goal is to get McCain elected. Lower gas prices WILL increase consumption, and will also increase satisfaction with the incumbent party.
Look, McSame doesn't care about the long-term price of oil and what it does to the economy and the less fortunate among us. And he certainly couldn't care less about lessening our dependence on oil; in fact, he needs us to be hooked on oil so he can justify the other wars he's promised.
Wait. But we all know that cutting taxes leads to increased revenue. That's what W told us before the massive tax cuts, and look what it's done to eliminate the deficit! If we get rid of the gas tax, we'll magically replace that money with increased gas sales. It may look like zero dollars in taxes per transaction, but what you're missing out is the volume. Zero times millions of purchases will add up to billions in taxes.
Our roads in Michigan are the worst I've seen in my lifetime. I have to drive like a drunk to avoid all of the potholes. Glad to see that somebody has a plan to fix the infrastructure.
Radically Moderate @ 15:
We now have a good start. An arse is already there. Do we need to change arses?
It's beyond ridiculous that people would think this man is an acceptable candidate for anything other than professional hand shaker.
Would you hire someone who didn't have the qualifications to do the job? No. [Ok you wouldn't so long as you weren't a crony-hugging repuglislug.] So why is this ancient, baffled, cranky old fool even considered adequate as a candidate? He's of average intelligence, has no knowledge of foreign policy, diplomacy, or economics. But he's all ready to bomb iran. That should be his platform. "Vote for me and I'll kill twice as many people as shrub!" Hoorah.
Let's hear it for crazy grampa mcstain. He's an idiot but he promises to keep the war fires burning.
Fade @ 20:
Funny, Fade, you could take that same post and substitute Obama for McCain and it would parrot about a thousand articles saying the same thing about Obama these last five days.
All except the patreeyit-ism part. But maybe that's why he's wearing that lapel pin now.
At $.18 a gallon in savings, I'll reap a roughly $5.00 a month windfall. I think I'll go start a factory and employ a few hundred people on my new found mad money.
Ok so the fear of the fed is that with a projected $4 a gallon for the summer the hit to the economy will be too much so we lower the tax instead of I dunno maybe look into why oil companies are reaping record profits and maybe making them absorb some of this? Seems we would just be paying a hell of a lot more down the road, just like with all of Bushies brilliant tax cuts.....
senilebiker @ 17:
Of course once the US economy recovers and the $ increases in value again (1,59$ for 1 euro today!!) Europe won't be so lucky anymore. Imagine the USD back on par or stronger than the euro and gas prices over here will explode.
Unless Iran is willing to sell petrol in euros of course.
For once McGeriatric told the truth....he don't know shit about the economy.
Slaw @ 22:
We had a bridge go down here in Minneapolis but hey, no big deal. With McCrazy, will have no jobs, no money, no cars and no roads. So see, McCrazy's plan works. Oh yea I forgot, more tax cuts for the rich too.
senilebiker @ 17:
Here in Norway, it has gone from about EUR 1,30 to 1,55 a litre, hardly devastating.
Though, with the current USD rate, its from roughly USD 2,1 to 2,5 a litre.
€Punk @ 28:
Imagine sensible US politicians for say 12 years in a row first.
There is no way in hell the USD will climb back up without seeing a fall in oil prices at the same time, you'd have a world wide recession on your hands due to the price of energy.
McCain does not understand Economics.
McCain does not understand Foriegn Policy.
McCain does not understand the Geneva Convention.
McCain does not understand Veterans' Rights.
McCain does not understand the Muslim Faith.
McCain does not understand Plagerism.
McCain does not understand the Mortgage Crisis.
McCain does understand Pandering.
McCain does understand Demagoguery.
McCain does understand Oportunism.
McCain does understand Fear Mongering.
McCain does understand how George Bush gets away with being ignorant as a doorknob.
This is just another political ploy and it looks like something that Mike Huckabee might have proposed. For the Government to maintain its current spending it will have to make up the lost tax revenues from McCain's "holiday" some other way or shut down Government operations in some areas all together.
€Punk @ 28:
Once the US economy recovers? Based on what economic policies? Your total economy stinks right now with a housing market in collapse, unemployment increasing, banks unwilling to lend money for investment, and a spiralling current account deficit. And you know the good news for us, if (ever) the dollar starts to strenghten, then the oil price will probably fall, as one of the current drivers of the increase is to maintain its value against a declining dollar. Keep up the optimism Dorothy
Norse @ 32:
You have a world wide recession due to the price of the dollar. The rest of the globe can easily resolve some of their issues by redenominating oil in some other currency.
The "free market" policies of the last 25 years, the deportation of manufacturing, the gross increases in our dual deficits, aritificially low U.S. interest rates have all come home to roost. The dollar is DESTROYED. All empires in history have died when their currencies died.
A little off the topic wall however it's about the McStain on our country. There were many German WW I heros that were well respected in their country and went on to be guilty of war crimes in WW II. Not sayin' McCrazy is a war criminal now but how about the potential ?
More great quick fixes from the Credit Card Party. Run up a big debt, claim fiscal superiority, lower taxes without regard to long term effects, personally enrich yourself (and friends), and find a way to blame it on the war you started and/or the other party for all the problems! Best way to succeed as a President: start a "war" as soon as you can (or continue one--McSame) and then proceed to use the war to excuse every possible affront to the Constitution, the economy, morality, and everything else. Not only that use FEAR as your big club.
YourMom @ 16:
Why bother with invasion? Why not just annex the countries l and have all the oil shipped here?
The thing is Republicans, and that includes McCrazy not only want to kill 'big' government, they want to kill ALL government. Republicans are the Tories of 1776 era...they want to defeat democracy and the Federal Government. Corporate fascism is the Republican rule of choice, not liberty.
xoites defends Constitution @ 33:
Thanks for the straight talk.
bill w @ 23:
Good thing no one wanted to change arses mid-stream.
henry wallace @ 40:
Every lower and middle class individual, every WORKING person in this country that has voted for the GOP has no one to blame but themselves for the situation they are in now.
Liberal AND Proud @ 43:
Ohhh..but they should remember...don't vote for the black guy! Be sure you vote for the rich lilly white guy, he has your best interests at heart. He really understands how regular Americans live. Just like that terrific drinking buddy, George Walker Bush.
henry wallace @ 40:
I'd say that the GOP wants a different kind of big Government. They do not want the type of Government that provides assistance and regluation. They want a Government that dominates and controls its citizens behavior and actions. They want a Government similar to Nazi Germany or the Soviet Union in my opinion.
Liberal AND Proud @ 43:
So true. I love when the trolls(baselessly of course) proclaim that there will be no difference whether a Democrat or Republican is in office. The worthless "We suck, but so do they" rationale. There is no way Obama will be the same as Bush or McStupid. Obama is clearly a DIFFERENT guy than these two lazy, elitist, war loving, common folk hating losers.
Here it is in a nutshell. Lower price. Higher consumption. Higher prices. More record profits for the oil giants.
Much to be desired from McCainonomics
Like money?
The problem with cutting ANY tax paid at the pump is that it's at the expense of programs citizens depend on.
They need to tax the oil companies on their profits with an escalating percentage tax to prevent their trying to pass it on to the consumer.
Tax breaks would be allowed for Alternative Energy research, but not corn based ethanol that seems to be mainly to profit the Archer Daniels Midland Group.
Russia announced that their oil fields are in decline now. It's actually a decline off of their second oil peak. The first happened just before Prestroika and the collapse of their economy.
Most of the world's oil fields are in decline. In fact, Conventional Oil Production for the entire world, peaked in 2005. It has declined slightly since then.
Production for all liquids, is expected to peak in 2008.
Now this doesn't mean oil production is just going to end. It just means it is going to slide down to near nothing over the next few decades. We still have unconventional oil from tar sands and the like, but they are essentially trickles, feeding into the river of oil we consume. And they require energy conversions in order to produce them. Tar sands consume natural gas and water for production. Along with heavy equipment that must be replaced due to wear and tear. Equipment made from burning coal, natural gas and oil.
As conventional oil production slides into decline, their are no alternatives that can be produced at a scale that will make up for it. As it declines, world energy production will decline with it.
Energy drives industry. There is a strong causal link between energy production and industry. So as energy declines, so will industry.
As industry declines, so will jobs.
As jobs decline in quantity and quality, the population will continue to rise.
And still the money supply increases, with more dollars, chasing less industry. More dollars chasing a declining production base.
Fewer jobs, lower pay, more money chasing fewer goods and services.
Add to that, and the public's general ignorance of what is at the root of our problems, and we can't elect politicians that can intelligently tackle these problems. Could we elect a second Jimmy Carter at this time? Too many people I know still cuss him over his conservation ideas.
We hate conservation. We are addicted to growth. We want to infinitely consume and grow until our planet collapses into a black hole and sucks the universe in with it. We abhor limits. We see the end of growth as death. We are eternal children.
McCain is perfect. He is preaching expanding consumption. He hasn't a clue about Peak Oil or Peak Energy. He is clueless about the downside of infinite population growth.
We're not ready for a president that will tackle these problems, and ask us to sacrifice for the future. So those that see these problems coming and are positioning to profit from the crisis. will not present us with candidates that will address it.
Hard times are coming. Notice how even now, peak food is following Peak Oil? As energy quality and quantity peak and decline, so follows food. And food prices will jump again this summer. All the inputs that go into creating food, are rising in price, faster than current food prices.
Have you started your victory garden?
Left&Left @ 46:
Those 'trolls' were you once, Left and Left. Back in 1992. Saps for a smooth-talking, charismatic charlatan.
Remember this moment 16 years from now when you are called a 'troll' for not embracing the new and DIFFERENT guy.
Left&Left @ 46:
I'm one of those trolls.
But I do believe that Obama would be a better president.
I feel that generally, the Democratic leadership is made up of faux Democrats, or Republicans in Democratic clothing. Just like Rush Limbaugh convinced Republicans to vote Hillary in the primaries, I wouldn't be surprised if many of the Democratic politicians in Washington weren't Republican plants. People who have Republican ideals, but rode the Democratic ticket to get elected.
For that reason I expect Diebold to elect McCain.
Most of you guys are not loooking at the big picture.
Its simple - you have a finite resource (the planet has only so much oil) and increasing demand.
Prices will continue to rise until there is no oil left.
The only way to make that easier to swallow is to rapidly reduce the consumption by energy efficency measures (yeah goodbye SUV) changing behaviour patterns (live closer to work, car pooling etc), reduction in demand (turn up the AC in Summer and down the heating in Winter) and go to substitutes (not ethanol, but wind solar tidal and yes nuclear).
This will not stop the depletion of stocks just slow it down, making the pain more bearable.
dennis @ 50:
Dennis, I didn't call anyone a troll because they don't support Obama. I referred to them as trolls because of the disingenuous way in which some bloggers come to sites like C&L with fake outrage to justify changing their mind on Obama when they know that they never liked the guy in the first place.
Clearly Mr. Benen is Socialist who does not understand economics. There are thousands upon thousands of small businesses who are being raped by high fuel prices. If all you do is sit in front of a monitor and complain about the state of the world, then get out and be productive. Run a small business that requires you to do significant driving. You will then understand how the cost of gas and diesel impacts YOUR ability to pay your creditors. It costs an independent truck driver over $1200 his fuel tanks. If the trucker can save over $60 for fuel, that money goes to feeding his family.
McCain clearly understands that congress will never do anything but posture and talk big. Congress, led by socialist democrats, will never help you. Socialists do nothing but harm our economy and free enterprise. Wake up and take a real look at what is happening.
John needs to think of it more like a chess game, not bingo. How does your first move effect the end game?
How does paying 18 cents less a gallon for gas for 3 months make us less dependant on oil...etc
What about next year and the year after that and when oil is $150 or $200 a barrel?
dennis @ 50:
Also Dennis, to compare Obama, a good family man who clearly loves his wife to Bill Clinton, a degenerate, serial pussy lover, is pathetic.
Idiot! Another idiot just like Bush!
50 dennis
Back in 1992. Saps for a smooth-talking, charismatic charlatan.
That-s a smooth-talking, charismatic charlatan who cut the deficit, improved the economy, and kept us largely at peace, (Bosnia and military strikes acknowledged) and earned respect around the world.
56 Left&Left Says
Also Dennis, to compare Obama, a good family man who clearly loves his wife to Bill Clinton, a degenerate, serial pussy lover, is pathetic.
Bill may've cheated on Hillary, but since when were you a Hillary supporter?
ysbaddaden @ 59:
Ok, you got me.
The infrastructure of the roads in the U.S. is crumbling. Falling apart. In bad repair. Going to hell. The gas tax pays for the roads. McCain wants to eliminate the funding for these repairs? So that means he wants to borrow money to pay for the rebuilding of the infrastructure. Just like he wants to borrow to pay for his war. Just like every Republican does. Borrow, lower taxes for the richest fuckers in the world, borrow, lower taxes for the richest fuckers in the world, borrow, lower taxes for the richest fuckers in the world, borrow. Then when the fiscally responsible Democrats come into power the Democrats want to pay for these things with money. They are forced to make the richest people in the world pay their fair share. The richest people/group in the world (Republicans) whine and cry and moan even though they could never spend their money ever. Then they call the Democrats “tax and spend when the republicans are the assholes who spend and borrow. Which is better? McCain CANNNOT be elected!!!!
ysbaddaden @ 58:
ysby-
You're not a troll as defined by Left and Left. You're ok- you're still a sap for the guy.
I'm not a Hillary supporter; I'm just enjoying my popcorn. This is better than the Comedy Channel for me.
Left&Left @ 56:
Dennis, Bill Clinton balanced the budget, got more of the welfare poor working, reduced the welfare rolls, ended acts of genocide without torturing or costing the lives of THOUSANDS of American troops. You're big criticism is that he had an extramarital affair. If that's his worst offense, we should bring him back. He adhered to a conservative fiscal policy, strong foreign policy...all the things that conservatives love. He was as has often been said.."the best Republican President of the last 25 years". Typically, you're all pissed off because Clinton got laid. Something you are obviously jealous of. Bill Clinton has accomplished things as President that GW Bush can only dream of, and in his life that mediocre individuals such as yourself can only dream of.
bob dobbs @ 26:
The big question is what you will do with the rest of the savings? Go shopping, of course!!!
Leave it to an idiot Republican to propose cutting money that repairs our roads and bridges.
McCain: I don't have to worry, my roads and bridges get first priority. The rest of you are on your own.
Thumper @ 54:
Spoken like a true troll. Bravo!
Haha heehee hoho.........
Thumper @ 54:
LOLOLOL!! No no...make him stop! LOLOL! You're killing me! LOLOL! Let's see...GOP control of the Congress for 25+ years, control of the Presidency for all but 8 years since 1980 (and GOP control of the Congress during the 8 Clinton years), adherence to GOP fiscal, economic and social policies for literally all of those years to end up where we are...and your solution is more of the same! LOLOL! NO...NO...you can't POSSIBLY be that blind or stupid.
McCainonomics = Moronomics
Socialists=Big Business, since when?
Thumper @ 54:
Socialists build roads and then let people drive on them without paying tolls.
The fact that drivers aren't billed by a private corporation for every mile driven, is one of the evil byproducts of our government's evil marriage with socialism.
Further, the idea that cities should provide services like, clean drinking water, is another socialist ideal. In a purely capitalist system, water would be privatized and strictly controlled. Rather than provide it on pricing, based on costs, it would be priced according to market mechanisms. It would would be priced according to what the market can bear. If you can't buy water at the price offered, you die.
That experiment is being tried out in some third world countries. They've gotten rid of socialist policies, like public water supples and gave the water rights to AquaSource and similar corporations. Then they made it illegal to dig wells or collect rainwater. Then the price of water was raised and the infrastructure was allowed to deteriorate.
Republicans understand, that if you can't pay high prices for water, then you don't deserve to drink fluids. Republicans understand that in the pursuit of pure capitalism, you might have to let people die, if they aren't profit centers for you.
The other day a woman was insisting that oil is so expensive because Democrats won't let oil companies drill in America, particularly Alaska. She knew it was so because she heard it on rash limpballs.
I asked her name one company this has happened to, and she couldn't.
I explained that oil companies DON'T want to drill in America when they can get it more cheaply done in labor and supply costs overseas, or by simply buying what's already on the market for them to turn around and sell. After only a little more discussion on oil and economy her eyes started glazing over.
Michelle Malkin @ 70:
Jebus, you are one scary individual.
So is there a chance that the democrats will embrace nuclear energy? This is probably the quickest and most efficient way for us to generate energy that isn't oil-based, and it's being used in Europe with much success.
Eric Gray
dennis @ 62:
I can imagine, I follow politics like others follow sports. However, you must acknowledge the Democrats are excited, and except for those on the blogs, like both candidates. The Republican nomination was actually rather quiet.
But then I quote Simpsons episodes like others quote scripture.
Michelle Malkin @ 70:
So if you lose your trust fund will you kill yourself?
Actually in Smithian economics business, ie. corporations are amoral. It's strictly business strictly profit with little or no concern about social impact.
It's up to the government to gauge social impact.
Was it intrusive government practices to try to illegalize the sex business and recreational narcotic use? (Actually I say yes, but then I'm a perv.)
Trying to conflate business interests with government interests is like trying to confuse thelogy with science.
However, the merger of government with corporations is called fascism.
oopsie
theology.
62 dennis Says: ysbaddaden @ 58:
50 dennis
Back in 1992. Saps for a smooth-talking, charismatic charlatan.
That-s a smooth-talking, charismatic charlatan who cut the deficit, improved the economy, and kept us largely at peace, (Bosnia and military strikes acknowledged) and earned respect around the world.
ysby-
You’re not a troll as defined by Left and Left. You’re ok- you’re still a sap for the guy.
For Left & Left?
Perhaps we should get a room.
Eric Gray @ 73:
Uranium shortages are plaguing Europe right now. India's reactors are running under capacity, to conserve fuel.
The shortage is caused by two factors.
1. Uranium mining seems to have peaked. It is getting costlier to produce uranium and production is slowing. The ore that is left is dropping in quality.
2. Demand for natural gas is increasing, faster than production can keep up with. Natural gas is used to make sulphuric acid, to leach uranium with. A number of plants making sulphuric acid switched to other products (like fertilizer), chasing higher profit margins. So the limited Sulphuric Acid production is increasing costs and limiting production.
Overall, the world has only 40 years of uranium left, or less if current trends reflect reality and the reserve sizes were misjudged.
As to Thorium reactors. No one has built one. We have no clue if they could be operated at a positive energy return.
Building more reactors will just deplete the fuel faster.
Seriously folks, things like this demonstrate the very real limits of McCain's intellect, curiosity and overall competence. Glad to see that even the MSM is critically reporting this so-called Economic
speech...of course, even though McCain's numerous gaffes and idioties are noted in passing by the MSM, they'll just continue to beat the drums over stupid things like BitterGate. So it's probably up to people like us to keep reminding other people just how much of an empty-suit McCain really is.
Especially since his character flaws (bad temper, vindictiveness) will probably not be exploited,
nor putting the "war hero" cachet into correct perspective. There's still Teflon left.
Michelle Malkin @ 70:
File this under "D"...Dumb and Dumber.
Left&Left @ 75:
So if you lose your trust fund will you kill yourself?
I should only do that if someone can make a profit from my death. Otherwise, I could become a greeter at Walmart and help fill the pockets of my masters, until I die of thirst, naturally.
Republicans consider 'potluck' as socialism...it is any wonder Republicanism is considered a mental illness.
Liberal AND Proud @ 81:
http://www.pbs.org/pov/pov2004/thirst/
http://tradewatch.org/documents/Bolivia_(PDF).PDF
http://www.cbc.ca/news/features/water/
Weaseldog @ 84:
Yes. Privatization of water. Doing for water what Enron did for electricity.
Where do I go to get a government contract to privatize air?
Did a couple of those replying to MM's posts leave their snarkmeter somewhere?
Ok, we get it McChimp, you don't get economics. Go back to talkin about your greatest passions, war and bombin' shit.
StirFry @ 88:
McCain cherry-bombs school toilets?
Weaseldog @ 79:
That's good information to know. I need to do some research on this, because I always felt it was a vaible solution if the political winds shifted on the Dem side so that we could explore Nuclear energy (as opposed to drilling in ANWR). Maybe it's not feasible..Anyway, good response
If the National average price of a gallon of petrol is $3.39, where, pray tell, is that really, REALLY cheap stuff to counter the $4.04/gal 'now showing' on station marquees here in Hollywood, CA?
"A couple of weeks ago, John McCain, in a high-profile speech, unveiled his response to the mortgage crisis. After it was universally panned as a bad joke, McCain scrapped his own proposal and tried again. Considering the Republican candidate’s admission that he doesn’t understand economics, it was an inauspicious start to unveiling his economic policy agenda."
McCain does not have a plan for the economy. HIS ADVISERS have plans. McCain is simply a tool, nothing more.
"As a matter of politics, it sounds like a possible winner: over the summer, when demand is at its peak and gas prices are on the rise, McCain wants to shave 18 cents off the price of a gallon of gas by temporarily waving federal taxes. It would cost $11 billion a year."
Woah woah woah...what is this "cost" you speak of? By lowering taxes, business costs go DOWN, not up. If you say no, you mean government costs go up, well that is simply wrong. The government's tax REVENUES go down. There is no "cost". Costs are previous money OUTLAYS. And besides, lowering taxes is always a good thing because it lowers the amount of theft that takes place in society. If society is to eliminate acts of force, then theft is a pretty important thing to minimize. It doesn't matter WHO steals, as long as theft goes down it is a good thing for humanity.
"This is a remarkably bad idea."
No, it's a remarkably GOOD idea.
"The federal gasoline tax represents a flat fee of 18.4 cents a gallon nationwide. With gasoline currently averaging $3.39 a gallon, the tax represents a mere 5 percent of today’s pump price. While that’s not trivial, consider that gasoline prices have more than doubled since 2004."
This is because the value of the dollar has plummeted. You have to get out of your head that rises in price are solely an act of business. Look at food, look at other commodities like wheat, gold, silver, soy, everything is shooting through the roof, and it's because the Fed is printing so many dollars that more are needed to buy stuff.
"The problem is that lowering gasoline prices at the pump would encourage more consumption."
You can blame Keynesian economists who have for years said that more consumption is a GOOD thing. Krugman is one such doofus.
"So in the long run, it would push prices up."
No, you are confusing a rise in price due to an increase in demand with a rise in the quantity demand due to a fall in price. They are not the same thing. More gasoline could conceivably be consumed, but it would only be as a consequence of a fall in prices. Only when there is a rise in demand can prices rise. The fundamental source for rising prices is rising demand, and this rising demand is a rise in monetary demand, which is due to the Federal Reserve, who are printing money like there is no tomorrow. Prices for everything like energy, food, clothing, commodities, everything, is going to go even higher this year, because the Fed is still pumping huge amounts of money into the economy.
"For that matter, federal gas taxes go towards rebuilding and maintaining roads and highways. Cutting the gas tax would mean less investment in infrastructure — a very dangerous approach right now — and fewer jobs."
If the jobs depended on higher taxes, then they are not productive. If they were, then there would be no need to steal money from tax-payers in order to pay these workers. People would voluntarily pay it if it was productive to society. And the point about roads and highways: The average person will have more money in their pockets because of lower taxes, so that is good for them, because around 30 million people in this country are on food stamps, and they could use the tax breaks. What good are roads and highways if people can't even afford a car?
"So, the provocative centerpiece of McCain’s big, new tax idea stimulates gas consumption, raises the price of fuel, undermines his own environmental agenda, weakens U.S. infrastructure, and would cost thousands of jobs."
Those jobs are unproductive, to they shouldn't be jobs in the first place. High taxes weaken infrastructure, because it diverts money away from productive state activities to fund unproductive activities. The plan will not raise the price of fuel, it will decrease it. Your claim that somehow a lower price will increase demand for the good, which will then increase the price, makes absolutely ZERO sense. The plan is for the price to LOWER. More consumption on the basis of lower prices does not mean the price will rise. For if the price rose back up, then it couldn't have decreased in the first place.
"McCain recently acknowledged, “The issue of economics is not something I’ve understood as well as I should.” If only he didn’t seem so anxious to prove it, I might have a little more confidence in his competence."
McCain is a complete stooge. But this plan is a good idea, even if it came from the depths of the evil neo-con sewer department of logic
Login or Register to post comments.