Monday, December 1st, 2008 at 11:58 am in Misc. Transportation.
Just when you thought it was safe to go back to the gas station, with East Bay average prices down to ONE DOLLAR AND NINETY-SEVEN CENTS A GALLON, an academic is suggesting a new gas tax.
But there’s method to his madness. Severin Borenstein, director of the University of California Energy Institute, suggests a transportation furel surcharge that would go up when gas prices are low and go down when they are high.
Borenstein’s paper suggests that such a tax would bring in money to help solve California’s budget crisis and help ward off what he and other experts fear: That as gas prices go down because people are driving less, people may start driving more again, hence driving prices back up. Got that?
I dunno. Prices aren’t expected to stay low very long, so the Queen would prefer to take full advantage while she can. You know?
(Photo by futureatlas on flickr.)