As motor vehicles become more efficient, the revenue from gasoline taxes decreases. Let's say you buy a gallon of gasoline for $4.00 of which $2.00 is tax. That's $0.05 per mile in a Prius as opposed to $0.20 per mile in a Suburban.
YES, I know....same goes for cigarettes....as States have programs for smoking cessation....and then complain that their tax revenues drop...and btw, my “efficiency” in gas hasn’t dropped in 10+ years....that’s how long we’ve had our Ford F100 P/U
et’s say you buy a gallon of gasoline for $4.00 of which $2.00 is tax. That’s $0.05 per mile in a Prius as opposed to $0.20 per mile in a Suburban.
The gas tax still works. A Prius is MUCH lighter than the suburban and thus would cause much less wear and tare on the road ways. Get back to me on raising the gas tax when all funs from said taxes go back in to the roads the tax was collected for in the first place.
In Minnesota it goes in to a “transportation fund” it’s used for anything remotely close to transportation. Bike paths, HOV lanes, buses.. Once in a while some of it actually goes in to the roads.