I wonder when we can expect the Bush/Cheney ads informing us that their own economic adviser has advocated raising the gasoline tax 50 cents per gallon? Oh yeah, with no burdensome background context provided.
Probably not any time soon.
Via Andrew Sullivan.
“Cutting income taxes while increasing gasoline taxes would lead to more rapid economic growth, less traffic congestion, safer roads, and reduced risk of global warming–all without jeopardizing long-term fiscal solvency. This may be the closest thing to a free lunch that economics has to offer.”
You forgot to mention the other part of Mankiw’s proposal.
Even so, it’s still a stupid idea by the former Harvard professor. He should stick to tossing ideas out where no one can hear them.
Ha ha. Provide background context in political TV commercials? Have you seen Bush’s? Why should anyone start now?
I agree that a gas tax is a good thing, but I highly doubt that it will noticably reduce the amount that people drive in any short amount of time. It will take awhile for people to change their lifestyles and habits