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**Seiblybiozy** · 01-23-2007, 05:19 PM

It's going to be paid for one way or the other. I don't think artificially making the price of fuel look lower then it is is a good idea in the long run since it suppresses the necessary economic motivations to move to other sources. Further if its paid at the pump some of the cost will be absorbed by the company's due to the elasticity of demand.

Higher pump prices would result in economic loss.
Not only would the everyday people be paying more for gas, but everything that’s transported would go up to compensate for the companies added cost.

Actually, the states should love the current method. People shop with the lowered prices and the states are getting more sales tax. If consumer prices would go up to compensate for added transportation cost, people will shop less.

01-23-2007, 05:19 PM	#18
Seiblybiozy Join Date Oct 2005 Posts 587 Senior Member	It's going to be paid for one way or the other. I don't think artificially making the price of fuel look lower then it is is a good idea in the long run since it suppresses the necessary economic motivations to move to other sources. Further if its paid at the pump some of the cost will be absorbed by the company's due to the elasticity of demand. Higher pump prices would result in economic loss. Not only would the everyday people be paying more for gas, but everything that’s transported would go up to compensate for the companies added cost. Actually, the states should love the current method. People shop with the lowered prices and the states are getting more sales tax. If consumer prices would go up to compensate for added transportation cost, people will shop less.
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