The Pay-Per-Mile Tax Scheme

Posted: January 20, 2013 by ShortTimer in Economic freedom, Economics, free markets, Government, Tax, taxes

A few other nations have discussed it, some engage in it.  Now, the Obama administration, having increased CAFE standards to the point where cars are getting more dangerous rather than less dangerous, is looking at a pay-per-mile tax scheme.

An on-again, off-again move by the Obama administration to scrap the federal gas tax in favor of a pay-per-mile fee would boost the tab to Americans as high as 250 percent, raising their current tax of 18.4 cents a gallon to as high as 46 cents, according to a new government study.

But without a tax increase, said the Government Accountability Office study, the government’s highway fund is going to go dry. One reason the fund is going broke: President Obama’s push for fuel efficient cars has resulted in better mileage, and fewer stops at the pump.

They socially engineered you into doing what they wanted.  The public now drives more fuel-efficient cars.  But now they can’t get the money out of you, so they have to tax you a different way.  You lose by not being able to drive the car you want, and the “savings” you just got from that no-power econo-coffin they now take from you in taxes.

In a free system, people would buy the cars they want.  Everyone wants more fuel efficient vehicles and everyone wants to pay less for gas.  Some vehicles have fuel efficiency limits due to design; but regardless, everyone wants to pay less at the pump.  People would naturally favor fuel economy because that leaves them with more money to spend on other things they want.  The individual consumer knows whats best for them – not the government.

There’s something that goes unsaid in this next part that is the biggest part of the big problem:

The GAO study is just the latest review of federal spending that paints a grim picture of the nation’s infrastructure. Just keeping spending at current levels, the GAO said, would require a near doubling of the gas tax to 32 cents a gallon, and that would jump to as high as 46 cents should the federal government add spending to fix crumbling infrastructure and build new roads.

Key thing to remember: Justification of overinflated budgets.  Everyone has seen a road ripped up and repaved, then repaved again when it didn’t need it; or seen good roads ripped up while bad roads are ignored.

The government just social-engineered you into buying a car you didn’t want, or paying a gas-guzzler tax on a car you did.  Or if you did want the little econo-box (or live somewhere that one is practical), they’re telling you that your “good deed” isn’t enough – and they want more from you anyway.

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