Early Retirement Blog

Gasoline prices have dropped, over $1 a gallon from their recent highs, making this a great opportunity to tax gas to fund Green Investments. When gasoline prices were highest, Americans adjusted to high pump prices by making lifestyle changes, that greatly benefited the environment and their health.

Americans bought high mpg cars, stopped driving and polluting, car pooled, used public transportation, rode bicycles etc. Americans, having made the adjustment to high gas prices, will be more likely to accept a gas tax increase. With an un-sustainably large federal budget deficit, the money to fund a Green Infrastructure which will create jobs, should come from the source of the greatest pollution.

We tax Tobacco, Alcohol, to pay for health and social services, why doesn’t it make sense to tax gasoline to pay for green infrastructure projects? Currently, the federal gas tax is 18.4 cents per gallon, which generates $38 billion in federal revenue. Double the gas tax to 37 cents per gallon, generating an additional $38 billion in revenue, to pay for green energy projects, public transportation expansion, and general infrastructure programs to stimulate the economy.

Gas prices have fallen over $1 per gallon, and are likely to decline even further, the American people will not notice or feel an 18.4 cent federal gas tax increase. Now is the time, while gas prices are falling, to raise the federal gas tax.

Also Read:

10 Green Ways to Save $1 Million
How to Retire Early
Early Retirement Planning