Is Your State in the Crapper? Why Not Blame W.?
What does a government know about lowering prices?
Already knowing what to expect, I took the bait and clicked on the link. I wasn't surprised at what I found. President Bush is the anti-Christ and responsible for high gas prices because he used to work in the oil business. I wasn't surprised when I read this a few months ago. With jobs leaving this state at dangerous speeds - during an election year, no less - the Governor needs a scapegoat.
I went back to the State of Michigan website today for more information. Our Democratic governor's illustrious re-election campaign ads warn us that President Bush is at fault for all of Michigan's economic problems, so I wasn't surprised this "screw-the-evil-oil-man" junk was still on the web page. But really, about three months later - and that is all she can do? Blame W.? Come on.
Michigan drivers are again facing the reality of $3-per-gallon gas - it’s time for President Bush and leaders in Washington to stop watching and start protecting us from the skyrocketing cost of gasoline! It's just not right that big oil companies should be allowed to hold customers hostage to outrageously expensive gas; they rake in billions in record-setting profits while consumers are left with no option but to pay ever-increasing prices.
Consider these facts:
The average price for unleaded gasoline is 64 cents higher than the same time last year.
ExxonMobil reported a $36.1 billion in profit, making it the largest corporation in the world and larger than the next four companies on the Forbes 500 list combined.
Oil prices have increased 240 percent since George Bush’s inauguration in January 2001.
Nearly eight months ago, I and a group of concerned Governors urged the President to take action to bring down the sky-high prices of gasoline at America's gas pumps. We urged the President to bring the price of gas down for consumers by capping oil profits and using federal anti-trust laws to prosecute any companies pocketing extra profits in the wake of disasters like Hurricane Katrina. We also asked Congress to investigate energy profiteering and pass legislation requiring oil companies to refund excess oil profits to consumers.
Well, for sake of argument let's say W. is responsible for lowering gas prices due to his executive position as President. That would mean Governor Jennifer Granholm, due to her executive position, also is responsible for lowering gas prices. In fact, she can provide almost immediate relief - as we see below. Think of how voters could repay her in November if she took the initiative to lowering their gas prices.
And just, prey tell, how could she lower the prices?
For starters, the EPA mandated all Midwest states add expensive ethanol to their gas mix. Ethanol doubled in price since last year. Tell the EPA "NO!"
Next - lower the freakin' taxes on gasoline purchases. Michigan's tax on gasoline is 19.875 cents per gallon - plus there sales tax of 6% (approximately 17 cents a gallon at the $2.95 prices this morning), plus the Federal government share of the pie at 18.4 cents a gallon. Tax price alone translates into almost 55 cents a gallon.
At the $2.95 per gallon price referenced, the tax burden alone on gasoline is almost 20%! Put a hold on the tax at the pump - voila, the price drops by almost 12.7% immediately.
Some other facts about the State of Michigan:
Estimated at 10.8% of income, Michigan’s state/local tax burden percentage ranks 16th highest nationally
Michigan levies a Single Business Tax (SBT), which is a modified value-added tax (VAT), which screws the Small Business Owner running the gas station, which increases the prices.
Michigan levies a 6% general sales or use tax on consumers... the national median is 5%.
Something else regarding gas prices, Governor Granholm. A little rain storm called Hurricane Katrina did a little damage to this country's oil refining capacity. No surprise since refineries haven't been built in this country since Richard Nixon was President.
What about the skyrocketing prices on barrels of oil - prices dictated by Middle East countries and Venezuela and the Market? What should W. do about that? He already catches enough BS from you and fellow Dems over Iraq and Afghanistan.
Governor Granholm, why should any Michigan citizen sign the W. petition when you refuse to do anything to reduce the cost of gasoline with the many tools at your disposal?
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