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Saturday, August 02, 2008


Barack Obama’s Solution For High Gas Prices: Tax Oil Companies

And then use the proceeds to give $1,000 tax rebates to citizens so that they can buy gas.

I shouldn’t have to explain how stupid this is, but since the liberals take everything that comes out of Obama’s mouth as gospel, I will anyway.

Taxing oil companies adds expense to the business of producing gasoline.  That expense, like all taxes on businesses, gets passed on to consumers.  So the tax, which is supposed to generate revenues Americans could then use to buy more gasoline, will just make that gasoline they’re buying more expensive.  Setting up a vicious cycle where the tax is applied, gas gets more expensive, and then the tax is raised again to generate more revenue for more gas rebates.

It’s like Obama is trying to invent a perpetual motion machine here.  Except that perpetual motion, or in this instance perpetual tax and entitlement schemes, aren’t possible.  Yet another tax on the oil industry isn’t likely to create much additional tax revenue.  And even if it did any good that revenue would do in giving Americans more money to buy fuel would be offset by the increase in gas prices the tax itself would create.

Does this tick you off? Click here to email your elected representatives right here on Say Anything, or comment below.

Comments

Rob’s analysis is right but the other thing is that this will take away the incentives to produce more oil.

No profits, no more new oil, shortages and higher prices.

The problem with the price of gas is big socialism. 

Speaking of which I’m surprised John McCain didn’t think of this.


1% of Americans pay 40% of the income tax.
5% of Americans pay 60% of the income tax.
10% of Americans pay 70% of the income tax.


The Whistler's signature
The Whistler on August 2, 2008 at 05:18 pm

Obama Is so stupid!

Zsa Zsa on August 2, 2008 at 06:40 pm

I thought that idea was really genius. That is the worst thing you can do.


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goon on August 2, 2008 at 07:36 pm

Aren’t higher taxes his solution to everything?
It’s pathetic to see the media let him get away with saying he wouldn’t raise taxes on anyone earning less than 200k.
He would let the income taxes for everyone expire and then try to claim he wasn’t responsible for taxes going up.
He’s a typical south side shyster from Chicago!


No Free Lunch
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Kevin on August 2, 2008 at 08:00 pm

You can’t tax your way to prosperity, because taxes take money from the productive center, and give it to the parasite sector.  Bad idea.


If govt control of the economy were the way to go, the Soviet Union would be the richest, most powerful nation in the history of the world.

Thanks to Obama, America remains the only country where it is illegal to drill our own oil!

robert108 on August 2, 2008 at 08:13 pm

Surprisingly, even for the parasites.


1% of Americans pay 40% of the income tax.
5% of Americans pay 60% of the income tax.
10% of Americans pay 70% of the income tax.


The Whistler's signature
The Whistler on August 2, 2008 at 08:21 pm
Avatar for jpgr

It’s a ‘feel good’ thing.  Just like Piggie Pelosi saying that if W vetoes a pork filled bill for kids that, well, he ‘doesn’t care about America’s children’.  Typical liberal shit talk.  They want to be in power to tell you what to do, second priority…stay in power.  Period.  Dems are idiots.  The funny thing is that if you take them for their general ideals, then they sound okay, but there is a deep, dark side underneath and only the ‘trolls’ cannot see beyond it.  Is it troll season yet?????

jpgr on August 2, 2008 at 09:50 pm
Rob
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I notice none of the Obama faithful are touching this one with a ten foot pole.

Typical.


The purpose of government shouldn’t be to do good, but simply to refrain from doing evil.

Rob on August 2, 2008 at 09:57 pm
Avatar for Hannitized

No one is touching it because your conclusions are so juvenile they hardly deserve a defense.

Its the same ol story we hear from Republicans, if you raise the minimum wage, prices increase.  We hear that nonsense all the time but Jack in The Box tacos are still .99 as they were in 1995. 

You are applying the same overly simplified argument to this situation and you have no facts or valid evidence to offer except your own opinion.

Hannitized on August 2, 2008 at 10:18 pm

...but Jack in The Box tacos are still .99 as they were in 1995.

Talk about an overly simplified argument!  Are they the same weight, with the same ingredients?  What about all the other items on the menu?  How about their condiment selection?  If you are forced by the govt to increase the price per employee, you either hire fewer employees or cut back somewhere else.  You just don’t know anything about business, obviously.
Actually, raising the minimum wage raises unemployment among marginal workers, like teenagers.


If govt control of the economy were the way to go, the Soviet Union would be the richest, most powerful nation in the history of the world.

Thanks to Obama, America remains the only country where it is illegal to drill our own oil!

robert108 on August 2, 2008 at 10:31 pm
Avatar for Hannitized

Talk about an overly simplified argument!  Are they the same weight, with the same ingredients?  What about all the other items on the menu?  How about their condiment selection?

Same weight, same ingredients, jumbo jacks are still the same price and Jack in the box has been paying higher wages for years.

The argument is lost with that simple example.

If you are forced by the govt to increase the price per employee, you either hire fewer employees or cut back somewhere else.  You just don’t know anything about business, obviously.

Having a good economy brings more business and more revenues.  You obviously don’ know anything about business.  This is why Republicans are bad for America, they always destroy the economy while Democrats fix it.

Under Clinton we enjoyed a great economy and we made lots of money, not so under Bush.  You obviously dont know anything about history.

Hannitized on August 2, 2008 at 10:49 pm

I guess Hannitized would like/longs to return to the days of Jimmy Carter. If BHO is elected we run the risk of doing that.


Check out:
Goon’s North Dakota Red Neck
Goon’s World

goon on August 3, 2008 at 12:38 am

Someone ought to enlighten our Enlightened One  

Almost 43 percent of oil and natural gas company shares are owned by mutual funds and asset management companies that have mutual funds. Mutual funds manage accounts for 55 million U.S. households with a median income of $68,700.

  Twenty seven percent of shares are owned by other institutional investors like pension funds. In 2004, more than 2,600 pension funds run by federal, state and local governments held almost $64 billion in shares of U.S. oil and natural gas companies. These funds represent the major retirement security for the nation’s current and retired soldiers, teachers, and police and fire personnel at every level of government.

  Fourteen percent of shares are held in IRA and other personal retirement accounts. Forty five million U.S. households have IRA and other personal retirement accounts, with an average account value of just over $22,000.

  Fourteen percent of shares are owned by individual investors who purchase stocks on the open market.

  1.5% of shares are owned by corporate insiders – company executives and CEO’s.

  As you can see, taxing profits will only take money from your pension, retirement account, mutual fund or stock earnings; a plan which simply takes your wealth away from you and transfers it to government bureaucrats with no promise of lower prices at the pump.

  So instead of taxing profits just what can we do to make the prices come down to reasonable levels that we all can afford? Increase supply. Increasing the supply of energy sources is the only way to make the price go down in any meaningful and real way.

So… if I read this right, The One, The Obamessiah, is asking us to send ourselves a check as a stimulus package.

Brilliant.

[reposted from Brutally Honest]

Eddie_the_Hated on August 3, 2008 at 12:50 am

Same weight, same ingredients, jumbo jacks are still the same price and Jack in the box has been paying higher wages for years.

Prove it.


If govt control of the economy were the way to go, the Soviet Union would be the richest, most powerful nation in the history of the world.

Thanks to Obama, America remains the only country where it is illegal to drill our own oil!

robert108 on August 3, 2008 at 12:59 am

I mean the entire product line, like I asked.  You change from tacos to Jumbo Jacks, like the liar you are.


If govt control of the economy were the way to go, the Soviet Union would be the richest, most powerful nation in the history of the world.

Thanks to Obama, America remains the only country where it is illegal to drill our own oil!

robert108 on August 3, 2008 at 01:00 am

This is why Republicans are bad for
America, they always destroy the economy while Democrats fix it.  You have that exactly backwards.

Under Clinton we enjoyed a great economy and we made lots of money, not so under Bush. You obviously dont know anything about history.

The Clinton economy ended in recession, with the bursting of the dot com bubble and the energy boondoggles like ENRON.  He also enabled 9/11, which was another blow to the economy.  Under President Bush, we not only recovered from the twin blows of the Clinton admin, but rebuilt our military and intel capabilities that Clinton gutted to massage his numbers.  Not only that, but unlike the coward Clinton, President Bush has killed and defeated the terrorists, rather than putting them up in the Lincoln bedroom(Arafat).  It is you who doesn’t know history, sonny.


If govt control of the economy were the way to go, the Soviet Union would be the richest, most powerful nation in the history of the world.

Thanks to Obama, America remains the only country where it is illegal to drill our own oil!

robert108 on August 3, 2008 at 01:04 am

Someone who knows economics should tell BHO that you can’t tax your way to prosperity.  The best you can do is stagnate.


If govt control of the economy were the way to go, the Soviet Union would be the richest, most powerful nation in the history of the world.

Thanks to Obama, America remains the only country where it is illegal to drill our own oil!

robert108 on August 3, 2008 at 01:07 am

Increased taxation is a way to stifle growth, not increase it.

Increase taxes on the oil companies and guess where it will be recovered from…Yes, at the pumps. Which will in turn just cost all consumers from the rich to the poor.

Increase in gas prices affect goods and services. Truckers don’t get free fuel to transport cargo, so they have to increase thier fees to cover for the rise in gas prices - which companies from Grocery stores to Department stores will raise thier prices to cover the increase cost of transport of these goods.

So while these retarded democrats feel they are only taxing the oil companies, they are really taxing everyone.

In a time where the price of oil is so high, and even the mention of drilling / removal of ban, causes the oil prices to drop significantly; the arguement that drilling will not help is a complete falsehood.

We need to be able to increase the supply to cover demand, stabilize the market while increasing the exploration of alternative fuels / energy.

I have no problem with alternative energy or fuels, as long as it is done correctly, not trying to shut down the economy to try and push an agenda.

I would love to see the ‘profits’ that the government is getting from taxes of the oil companies and copare them to the profits after taxes of the oil companies.

That would be an interesting chart to look at.

Speaking of charts and oil related information, check out the link below:

The Monthly Oil Market Report for July 2008 (PDF)


‘A government big enough to give you everything you want, is strong enough to take everything you have.’  - Thomas Jefferson.

sanity on August 3, 2008 at 01:31 am

Same weight, same ingredients, jumbo jacks are still the same price and Jack in the box has been paying higher wages for years.

So, your entire argument loses its weight. If jack in the box pays above minimum wage for starting employees, then of course a minimum wage raise won’t affect them. Likewize, businesses that start at 15 an hour aren’t affected.

What does this say for the minimum wage that even JACK IN THE BOX, a fast food restaurant, isn’t paying minimum wage? Minimum wage is a mostly small business thing. And raising it hurts them, A LOT.

Having a good economy brings more business and more revenues.  You obviously don’ know anything about business.  This is why Republicans are bad for America, they always destroy the economy while Democrats fix it.

Over 95% of economists are against the minimum wage. The minimum wage was originally designed as a way to hurt the South and northern blacks, by pricing them out of the market. By not knowing the effects of price controls and the history of the plans you want…you lose all credibility.

Under Clinton we enjoyed a great economy and we made lots of money, not so under Bush.  You obviously dont know anything about history.

Under Clinton we had a Republican congress. Congress makes the budgets. The first two years of Clinton, with the Dems in control, were not that great. Hell, we can sort of see what it’s like with the Dem congress NOW.

None of this addresses the basic point that taxing something doesn’t make the price go down. It’s undeniable that raising the taxes makes the price go up and lowering them makes the price go down. This rule has no exceptions.


It’s all political bullshit. Liberals (and Robert108) lie and spin and twist and obscure and distract and cheat to protect their guys and hurt the opposing team. It’s like wrestling. They distract the ref while their team mate hits you with a chair. There’s no rule they won’t break, no law they won’t skirt, no crime they won’t forgive as long as they can win.

Kenny on August 3, 2008 at 02:48 am

So the minimal wage got raised last summer.  How about that job growth….?


1% of Americans pay 40% of the income tax.
5% of Americans pay 60% of the income tax.
10% of Americans pay 70% of the income tax.


The Whistler's signature
The Whistler on August 3, 2008 at 06:08 am

Over 95% of economists are against the minimum wage. The minimum wage was originally designed as a way to hurt the South and northern blacks, by pricing them out of the market.

It was originally part of the Eugenics movement.


If govt control of the economy were the way to go, the Soviet Union would be the richest, most powerful nation in the history of the world.

Thanks to Obama, America remains the only country where it is illegal to drill our own oil!

robert108 on August 3, 2008 at 09:11 am
Rob
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Whistler makes a good point.  Raising the minimum wage doesn’t always make prices go up.  Often, especially in very competitive industries like retail and food service, employers can’t raise prices lest they find themselves no longer able to compete.

So instead they cut costs.  That usually means increasing efficiency and eliminating some employees.

But this tax isn’t the minimum wage.  It’s a tax on oil companies.  And it will make gas prices go higher, especially if the tax is high enough to give every American family a $1,000 gas rebate.


The purpose of government shouldn’t be to do good, but simply to refrain from doing evil.

Rob on August 3, 2008 at 10:04 am

And it will make gas prices go higher, especially if the tax is high enough to give
every American family a $1,000 gas rebate.

Absolutely correct, and for a very simple reason: taxes don’t create value, they just redistribute it from the achievers to the non-achievers.
Only the productive use of capital and labor produce value, and taxes are an added expense to that process.


If govt control of the economy were the way to go, the Soviet Union would be the richest, most powerful nation in the history of the world.

Thanks to Obama, America remains the only country where it is illegal to drill our own oil!

robert108 on August 3, 2008 at 10:11 am

But this tax isn’t the minimum wage.

Eh, it’s the same basic idea. The “plan” is to make the price go down by raising expenses…which doesn’t make a whole lot of sense.

It hurts my head how the same idiots who claim that the greedy oil companies won’t pass on tax cuts to the consumer also think the same greedy companies won’t pass additional COSTS on to the consumer. Braindead.


It’s all political bullshit. Liberals (and Robert108) lie and spin and twist and obscure and distract and cheat to protect their guys and hurt the opposing team. It’s like wrestling. They distract the ref while their team mate hits you with a chair. There’s no rule they won’t break, no law they won’t skirt, no crime they won’t forgive as long as they can win.

Kenny on August 3, 2008 at 02:56 pm
Avatar for DP

so the government is getting more income off of people buying gas?

couldn’t they use that “perpetual motion machine” to fund alternative energy and transportation technology?
while simultaneously making it harder and harder to see gas as a viable transportation method by increasing its price?

sounds like a good plan to me. a harsh one. but a good one.

DP on August 5, 2008 at 12:23 pm
Rob
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DP: One, the government shouldn’t be in the habit of meddling in our markets.  Especially not to artificially inflate the price of a universally needed commodity like gasoline in order to lessen demand.

Government controls on supply and demand are an invitation to totalitarianism.

As for funding alternative energy and transportation initiatives, if those initiatives were such great ideas they wouldn’t need public funding.


The purpose of government shouldn’t be to do good, but simply to refrain from doing evil.

Rob on August 5, 2008 at 12:29 pm

sorry folks, but it looks like there’s more important things than a cheap gallon of gas.
sorry for sounding like a Hippy, but get real already.

That may be true for individuals but it certainly isn’t for industry.  Cheap and plentiful energy is one of the basics of a healthy economy.  You can readily see how the increased cost of energy is affecting the airline industry.


One of the most important talents for success in politics is the ability to make utter nonsense sound not only plausible but inspiring. Barack Obama has that talent. We will be lucky if we escape the catastrophes into which other countries have been led by leaders with that same charismatic talent.
-Thomas Sowell

docdave on August 5, 2008 at 12:53 pm

Government controls on supply and demand are an invitation to totalitarianism.

Welcome to a Barack Hussein Obama administration with democratic houses and senates.


Check out:
Goon’s North Dakota Red Neck
Goon’s World

goon on August 8, 2008 at 10:54 pm
Avatar for Paola

Palin has done the same in alaska as governor and boasted that this practice has increased revenues to her state. Also I am not sure the big oil companies consider her a nemesis as she goes to bed with a BP employee every night.

Paola on September 4, 2008 at 08:10 pm
Avatar for Howard

In the Bill Oreilly interview of Barack Obama, regarding the discussion
about Obama’s energy plan, in response to Bill asking
Barack, what if the development of alternate energy
sources don’t deliver. Obama compared his approach
to John Kennedy’s space program, and how if you go
for it , the answers will come. But, the distinction between
our space program and our energy challenge is ... If it had taken
us longer than we thought to get to the moon ... or, if we hadn’t
gotten to the moon ... no big deal. But, if we put all our hopes
into alternative energy, and it doesn’t happen in time ... or, if
it doesn’t work, our entire economy, as well as our national
security could end up in ruins. Our country’s entire energy
infrastructure revolves around petroleum. 167,000 gas stations,
the 250 million vehicles. Democrats keep citing how long it will take
to get more oil out of the ground. But, even if an alternative
fuel is found tomorrow, how long will it take America to
transition from our existing infrastructure to a completely
new one? In the meantime, people have to get to work, and
goods have to get to market. This is an important reason to
secure our energy needs with oil drilling and mining oil shale,
while we try to develop alternate energy. Obama and
Pelosi also want to dip into the strategic oil reserve, as a way
of pandering to voters, but what if we have a true emergency,
like Hurricane Ike, or Hugo Chavez cuts us off, or Amadinajad
cripples the straits of Hormuz? Obama seems to be
playing fast and loose with our country’s future ... gambling
with our future, all based on hope and faith ... with consequences
which could be dire. Obama’s plans, or lack thereof, are
extremely irresponsible. Not suprising from a candidate who
does not have the experience, qualifications, or judgement to lead, as
President of the United States.

Howard on September 13, 2008 at 02:03 pm
Avatar for Aisha

I presently find that his ideas for gas untouch the prospect of prices and the reliability towards intriguing the subject, yet many of his other ideas present a statable arguement. Though i am for the democratic side i preferred Hillary as a great leader. she is both that McCain and Obama present as flaws about each other, which of course is that she is young(er) and experienced.

Aisha on September 16, 2008 at 06:59 pm
Avatar for reunca

Barack is a great man i really hope he becomes president bacause i believe in change and i think you should too. and for all who don’t know his first name Barack means a"blessing” i pray to the lord Barack becomes president!

reunca on September 23, 2008 at 08:05 am
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i pray to the lord Barack becomes president!

...of Kenya. Then maybe his brother could move out of his shack and stay with the prez in his new digs?


Shrugging off the mindless, baseless attacks of Liberal hyenas and jackals since 2007

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Proof on September 23, 2008 at 08:15 am

Barack is a great man i really hope he becomes president bacause i believe in change and i think you should too. and for all who don’t know his first name Barack means a"blessing” i pray to the lord Barack becomes president!

Some may agree with you there, but I do not.

Barack is a man, the only thing of greatness I see is bring the first ever african american to run for president. That is it. There is nothing I have seen in his history, his stint in IL or his very little time in congress to make him great.

As to change, please show me where. Change is a slogan, a mantra, that gives hope but for what? What will change? So far what I have seen of Obama, he is just another politician running for the office of president, and so far the only thing that makes him ‘special’ is that he is he gives very good speeches when using teleprompters and that he is a the first person of color to do so well and have a very good chance at being president.

As to the meaning of his name, that is a moot point. The meaning of a persons name should not be a deciding facotr, or even any type of factor in choosing a person. The meaning of a persons name does not make the person the same as the meaning.


‘A government big enough to give you everything you want, is strong enough to take everything you have.’  - Thomas Jefferson.

sanity on September 23, 2008 at 08:18 am
Avatar for Brian

This statement is most definitely true. If corporations lose money due to taxes, they’re not gonna sit back and take it. their gonna jack up prices - this applies to more than just gas companies. Mcdonalds won’t necessarily turn the dollar menu into a two dollar menu, but their happily fire thousands of their millions of employees. Under Obama, the short term effects are good, but somewhat socialist. The long term effects are disastrous.

But I also think its funny that although McCain’s policy is better, he doesn’t really understand why. He thinks lower taxes means poorer people get extra money - well if your only making $1000 a month, $50 isn’t gonna help. The truth is, lowering taxes for corporations will allow them to lower prices resulting in more competition. Under McCain, the short term effects are cliche, “The rich get richer, the poor get poorer”. But in the long term effects, the rich getting richer gets passed on to the poor.

Two more comments before I never come back:

The fact that our economy sucks isn’t all because Bush is president - a lot of it is his fault. But economic problems don’t just happen in 8 years. The history of this economic problem lies in Clinton - and maybe even Bush Sr. administration.

Also, might I inform you that, although Obama’s father was Black, his parents had a divorce when he was very young, and his father left to Kenya where he died. His mother married and Indonesian man, who was the one who raised Obama in Indonesia. Barack Obama is more South Asian than Black, and even in American has had little exposure in the Black community. I’m not just talking about New York and DC, but Mississippi and Alabama, and major black communities. He didn’t go to the Jena 6 rally. At the start of his campaign, he did talk about things that mattered to minorities like Immigration, but since he beat Hillary, he’s practically sold out minorities, talking about the Environment and all that stuff that matters to Whites.

Brian on October 24, 2008 at 12:34 pm
Avatar for mobitronia

Obama’s idea could benefit us from higher gas prices but I’m not sure if Obama can make it forever. I mean I’m not quite sure if he could really solve economical problems.

mobitronia on January 19, 2009 at 06:44 pm
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