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Georgia governor plans to lift state gas tax for rest of the month
AP Wires | 9-2-2005 | AP Wire

Posted on 09/02/2005 9:27:15 AM PDT by Thanatos

Georgia governor plans to lift state gas tax for rest of the month

Eds: Moving on general news and financial services.

By DICK PETTYS Associated Press Writer

ATLANTA (AP) -- Georgia Gov. Sonny Perdue said he will sign an executive order Friday that will exempt consumers from state motor fuel taxes through the end of September to "relieve some of the financial burden" in the wake of Hurricane Katrina.

The order will remove the 7.5-cents-a-gallon tax and a 4 percent sales tax on gas, the governor said, and was set to begin at midnight.

The move comes as gasoline in some parts of the country has risen well above $3 a gallon.


TOPICS: Breaking News; Culture/Society; Government; US: Georgia
KEYWORDS: energy; gasprices; gastaxes; katrina; wottaconcept
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To: Blueflag

$3.25 in S. FL today....talks of rationing.


61 posted on 09/02/2005 10:16:32 AM PDT by anniegetyourgun
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To: paulcox1978

yeah.. but when is he up for re-election? people WILL remember this tactic. i agree that it'll only help for a day or so, but people will think to themselves "the gov. pulled taxes to help us. we love him! he's a friend to the people! re-elect!"
and maybe if people see how little it helped they'll demand more drilling and refineries.


62 posted on 09/02/2005 10:17:53 AM PDT by absolootezer0 ("My God, why have you forsaken us.. no wait, its the liberals that have forsaken you... my bad")
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To: dfwgator

This will separate the statesmen from the bureaucrats in a hurry.










63 posted on 09/02/2005 10:18:12 AM PDT by Let's Roll ( "Congressmen who ... undermine the military ... should be arrested, exiled or hanged" - A. Lincoln)
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To: absolootezer0
"yeah.. but when is he up for re-election? people WILL remember this tactic. i agree that it'll only help for a day or so, but people will think to themselves "the gov. pulled taxes to help us. we love him! he's a friend to the people! re-elect!"
and maybe if people see how little it helped they'll demand more drilling and refineries."

Awesome point...instead of mandating everyone take econ 101 (as i sarcastically suggested earlier in this thread) we can give them a working lesson in supply and demand. Give the people what they want. I wonder who/what they'll blame when it doesn't work. Bush? that's assumed. Big oil? also assumed...I'm dying of curiosity here :)
64 posted on 09/02/2005 10:23:02 AM PDT by tfecw (It's for the children)
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To: Thanatos

Hah, easier than stopping the gouging which is the national pastime in Georgia.


65 posted on 09/02/2005 10:28:03 AM PDT by OldFriend (MAJ. TAMMY DUCKWORTH ~ A NATIONAL TREASURE)
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To: Thanatos
Cheeper gas??? Yeee-haaaaa!!! Let's hit the gas stations now and top up big-time!! What a bonanza!

What? Everyone else had the same idea and they're all sold out???

Oh well.

66 posted on 09/02/2005 10:28:43 AM PDT by marshmallow
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To: kittymyrib
Zero-ing out FEMA, that's the ticket! LOL....I wish!

And take the unionized transportation security folks too.

67 posted on 09/02/2005 10:29:03 AM PDT by OldFriend (MAJ. TAMMY DUCKWORTH ~ A NATIONAL TREASURE)
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To: Adam-ondi-Ahman
"What some of us foresee is that the desired results won't happen."

That's where I have a problem that we must have a group of closet liberals on this forum that think it is best if the government regulates and taxes the hell out of it. And everything will be Utopian. The companies will not increase supply because the demand has been reduced so the only one that will profit and benefit is the government. This is wrong. Get the government out of the way.....
68 posted on 09/02/2005 10:31:16 AM PDT by Quick Shot
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To: Quick Shot
The Governor is right and your assumption is wrong. you missed the big point. If the "record profit" gas company can make more money in GA then there will be much more supply in GA. The problems of shortages will be in the surrounding states, until they cut there taxes.

You clearly know nothing about basic economics. There will be a shortage in the surrounding states until they cut taxes? Are you insane? How exactly would making gas cheaper (albeit temporarily) increase the supply? The exact opposite will happen. Tax or no tax, the market price of any good is determined by how much people are willing to pay. And since our demand for gasoline is mostly inelastic in the short term (i.e. we all need to get to work every day), the price will very quickly go back to the market rate.

Don't take my word (or the word of any economist) for it, though. Just track gas prices in GA and see if this idiotic tax cut has an effect.

It's nice to know that there are plenty of conservatives who are intellectually honest enough to abandon the knee-jerk "taxes are always bad, cutting taxes is always good!" mentality when it comes to serious economic issues. I'm no fan of taxes myself, but I'd rather the state of Georgia keep the money rather than just handing it out to the oil companies. (Though my oil stocks are up 30% in the last few months, so I suppose I should applaud the tax cut...)
69 posted on 09/02/2005 10:33:04 AM PDT by paulcox1978
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To: Corin Stormhands

Ah, a troublemaker. Well, I'm always up for that :)


70 posted on 09/02/2005 10:33:53 AM PDT by general_re ("Frantic orthodoxy is never rooted in faith, but in doubt." - Reinhold Niebuhr)
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To: numberonepal

And after the gov. put a stop to it, shortages ensued, with many stations running out of gas completely.

If Perdue had kept his hands off it, those stations would still have gas after the panic, and their prices would be back down today.


71 posted on 09/02/2005 10:34:57 AM PDT by frgoff
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To: general_re

I'm not called "The Fly in the Butt Balm" for no reason.


72 posted on 09/02/2005 10:35:20 AM PDT by Corin Stormhands (Join the Hobbit Hole Troop Support - http://freeper.the-hobbit-hole.net/)
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To: Sloth

Um, prices were high a year ago, too because of shortages. High gas prices are the result of a constrained supply.

Perdue should be looking for state policies that are restricting supply or escalating the costs of gasoline and address those.


73 posted on 09/02/2005 10:37:38 AM PDT by frgoff
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To: Quick Shot
The companies will not increase supply because the demand has been reduced so the only one that will profit and benefit is the government.

You're assuming it is possible to increase the supply. This is likely an unwarranted assumption given the current state of affairs.

74 posted on 09/02/2005 10:42:29 AM PDT by frgoff
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To: frgoff

Oh, it will get better. Our take charge governor will then take steps to stop the shortages by rationing.


75 posted on 09/02/2005 10:43:54 AM PDT by frgoff
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To: Politicalmom
I appreciate the tax cut.

Hugo Chavez appreciates it even more. Gas stations will raise their rates to make up the difference, and now the profit will go to build roads in Venezuela and Iran instead of Gwinnett County.
76 posted on 09/02/2005 10:44:00 AM PDT by HostileTerritory
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To: HOYA97

What the Hell's a HOYA anyway?

Livin' large in Gwinnett ;-)


77 posted on 09/02/2005 10:44:59 AM PDT by Blueflag (Res ipsa loquitor)
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To: tfecw
BTTT

I would rather pay $6.00/gallon for gas than walk by closed stations selling nothing for $1.15/gallon.

The lack of economic sense in this country is staggering.

78 posted on 09/02/2005 10:45:14 AM PDT by been_lurking
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To: paulcox1978

If it were not for an event like this, the government would NEVER eliminate such a tax. And people here are suggesting the governor RAISE taxes, knowing full well that a tax raised because of this would NEVER be lowered again, even when the emergency is gone.


79 posted on 09/02/2005 10:45:55 AM PDT by nickcarraway (I'm Only Alive, Because a Judge Hasn't Ruled I Should Die...)
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To: Tarpon
All that will do is raise consumption, empty the gas stations tanks and worsen the shortage. We simply need more refining capacity -- It's not price. Just wait, the shortages and long lines will follow. Write this down.

EXACTLY!!!!!!!!! I'm a Perdue fan but this is a dumb move. It will only exacerbate the shortages. Oh, and who is going to make sure the gas stations don't just merely pocket the difference? Very dumb move right now.

80 posted on 09/02/2005 10:46:34 AM PDT by Wyatt's Torch
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