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Suspending 18.4-Cent Charge Will only Hurt Transportation
Suspending the gas tax would shift costs to other sources and leave less money for highway, bridge and transit projects, analysts said.
- Politicians in both parties have suggested a "gas tax holiday" to help Americans facing gas prices up to $4.50 a gallon, though critics warn the proposal offers little economic relief.
- Senate Majority Leader John Thune described the idea as "just a flimsy Band-Aid," while economists warn that such a holiday would likely increase pre-tax prices and expand federal deficits.
- A one-year suspension would pull $40 billion from the Highway Trust Fund, advancing the insolvency date to June 2027, according to Marc Goldwein of the Committee for a Responsible Federal Budget.
- The holiday would reduce household costs by less than $1 per week, with evidence suggesting suppliers would raise prices to capture the tax savings.
- To address affordability effectively, experts suggest reducing budget deficits to lower inflation or replacing the gas tax with steady revenue sources like a weight-based registration fee.
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11 Articles
11 Articles
Suspending federal gas tax will only worsen transportation
With gas prices up to $4.50 a gallon and inflation approaching 4%, Americans are justifiably anxious over growing affordability challenges. The post Suspending federal gas tax will only worsen transportation appeared first on West Hawaii Today.
Coverage Details
Total News Sources11
Leaning Left4Leaning Right0Center7Last UpdatedBias Distribution64% Center
Bias Distribution
- 64% of the sources are Center
64% Center
L 36%
C 64%
Factuality
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