How can raising TAXES on oil companies lower gas prices?

Seems like a pretty stupid idea considering the increased expense would only be passed on to the consumer.





I guess Obama's higher education is full of holes....





http://www.blockbarack.com





How can raising TAXES on oil companies lower gas prices?
It won't....but stay tuned, he'll flip flop again. How can raising TAXES on oil companies lower gas prices?
I agree. I believe the key is to allow the construction of some smaller refineries by ';small oil companies'; to promote price competition. Apparently, the refineries/oil companies are at capacity so there is no motivation to lower price to increase market share simply because they do not have the capacity to produce the additional fuel.





You increase tax and they will simply increase the price.
Yeah...well, do you really think that they aren't going to raise prices anyway? Regardless of what the government does, demand for oil companies always goes up, so will their prices. Why is it so wrong to give something back to the ones consuming all this oil, and making these companies rich? Obviously, they still know how to pull in 150 million dollars in profit. So what is the risk of them being taxed going to be, when they raise prices anyway?








EDIT: Of course, taxing anybody is never the answer. It creates less insentive to produce. Giving a 1000 dollar rebate will do nothing to help energy prices.
Apparently you missed the fact that oil companies made billions of dollars from Hummer owners like you. It is called price gouging and if you do not do something to hold the oil companies in check, after president Cheney gave them a free ride, they will never stop. You should try to read beyond the headlines and get the real story, or you are probably so conservative you would vote for anybody that calls himself one. I do not hear McCain making a statement like that.
It is this way dear, democrats have not yet figured out that if you increase taxes on a business that business passes that increase down to the consumer. Taxes are considered a business expense and all expenses are passed on to the consumer. Makes you wonder about these ';prestigious'; universities these democrats went to, doesn't it?
When Carter tried this it stifled drilling in this country which raised prices at the pump and the oil companies passed the tax increase onto the consumer...the Democratic Congress is wanting to ';nationalize'; the oil companies which will also raise prices so anyway you look at it gas will go up and these increases will hurt the poor the most, its a vicious cycle.
It reduces production. You can't tax the producer and subsidize consumption with the money. It won't happen. It's already been proven that it will only increase our dependence on foreign oil. Obama is only pandering (lying) and you can't believe a word he says.





http://www.energytomorrow.org/oilandgas/鈥?/a>
Raising taxes on oil companies can not lower gas prices and will probably raise gas prices because the oil companies might stop drilling for oil decreasing the supply of oil. Jimmy Carter did something like this in the 70s, and oil prices went up (Thanks, Jimmy). The deomocrats are great at creating problems but can't solve problems!


Do the democrats want higher oil prices, or are they just stupid?
';How can raising TAXES on oil companies lower gas prices?';





It will not.





Asking oil companies to subsidize alternative energy research with their profits, is like asking PEPSI to put a can of COKE in their 6 pack........





They are in business to find, refined and sell oil, not to look for new energy source.....
What person on the planet in this day and age actually believes corporations pay taxes.





THEY DO NOT; only their CUSTOMERS do!





If we raise taxes on the oil companies they will pass it on to me and you.





It is a matter of fact; if a corporation did not pass along its operating costs and produce a profit they would be out of business.





Then where would we get our energy.





FYI Let's clear up one lie right now. T Boone Pickens is a corporate raider not an oilman. I realize he has reinvented himself as an oil man and there are people who want to believe him. But his newest green epiphany is merely an attempt to cash in on a little of that Federal money (MY MONEY). He is a fraud and belongs in prison, not held up as an icon by either party.
Oh please the oil companies need no excuse to increase the gas prices I mean look at them now!! The gas prices went sky high for no damn reason so wake up will ya. It is not going to kill them to pay more taxes. I think all the rich should pay more taxes it is not going to kill them.
Right, that's also why I don't understand the push for new refineries. At somewhere between 6-20 billion for a new refinery we know that'll be paid through our tax dollars. Let's use that money to invest in new energy research. In fact, that's what a Texas oil man, T. Boone Pickens wants.
It can't. All it does is allow that racist ex-crack head Marxist to buy votes by stealing money from the oil company share holders (to include my retirement fund) and redistribute it to the societal parasites who support him.
The windfall profits tax will only INCREASE prices, any college fresman economics student can tell you that. Only two things will lower gas prices - increasing supply (which the Democrats oppose) and decreasing demand (which the American people won't do).
McCain is too old to do anything good for this country. Wind fall gas tax is a great idea. I can use some of that money to lower my gas bill during the winters.
They won't. Anything that increases the cost structure in an industry shifts the supply curve to the left, resulting in less production at a higher market clearing price.



How can getting 2 million bucks from the oil companies reduce taxes?
Silly rabbit.


The Dems don't care about us paying less for gas.


All the want to do is PUNISH the big bad oil companies.
Only Obama could make that argument - you're right about his education!
It is Obama own type of math and if you think it is wrong than you are racist.
If you can seriously ask the question it is unlikely you will understand the answer.





The answer is: to use the windfall profits to develop alternatives and reduce demand. You may recall that prices fall when demand drops.