Another quick fix for rising gas prices brought to you by Lt. Gov. Kerry Healey. In an effort to win over drivers at the pump, Healey proposed repealing the 21-cents-per-gallon tax on gas, claiming it would lessen the burden on working-class families.
Sadly, while Healey has been championing the reduction of gas prices to benefit working families, she is really just counting on their short-sightedness to achieve gubernatorial campaign victory.
The temporary repeal of the gas tax would only have a slight effect on the well-being of working-class families. Already burdened by high gas prices, these individuals rely on public and alternative means of transportation to get them from one place to another.
In fact, businesses and citizens with a higher income would benefit most from the elimination of the gas tax because it would reduce the cost of shipping and travel.
In May 2006, Healey backed a proposed bill that would cut the fuel the tax between Memorial Day and Labor day, the peak traveling time for families who can afford to vacation. Understandably, the House rejected the legislation, citing major loses in tax revenue.
According to a report by the Nationwide Personal Transportation Survey, “a 10 percent increase in household income increases daily [vehicle miles traveled] by 3.5 to 3.7 percent,” meaning families with more money tend to travel more. Therefore, eliminating a tax that is directly related to how many miles you travel is more beneficial to the have’s than the have-not’s.
In fact, Healey’s platform to repeal the gas tax for an indefinite amount of time suggests an intelligent way to kill two birds with one stone. Healey keeps the working class happy by providing them with a little extra spending money, while appealing to her rich constituents who will actually benefit.
While we acknowledge the price of gas is a very real problem, removing a tax on gas is not the solution. It only masks deeper problems: dependence on foreign oil and a need for alternative fuels.