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The problem with have the gas tax a % of the price is that then revenues rise and fall with the price of gas, and not according to transportation needs. When the price goes down, driving increases, which means that roads will need more maintenance but there will be less money. Moreover an increase in the oil price stresses on the economy, as we all know from 2008. The concordant tax increases further stresses on the economy -- more people out of work.

Given the current economic climate the chance that Congress would pass such a law is nil. For good reason: it is bad policy.

by goldfish on Sep 7, 2011 4:14 pm • linkreport

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