Home pagePress CenterIn the Media Frank Verrastro, director of the CSIS Energy and National Security Program, was quoted by the Associated Press, "Proposals to Slash Gas Prices Abound in White House Race."
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Frank Verrastro, director of the CSIS Energy and National Security Program, was quoted by the Associated Press, "Proposals to Slash Gas Prices Abound in White House Race."
Get rid of the federal gas tax — at least for the summer. Tax Big Oil to help the rest of us out. Get drilling in that Alaska refuge. Soaring gasoline prices are suddenly the nation's No. 1 crisis, and all the presidential candidates are offering cures.
Never mind that economists and energy experts see little value in such measures, at least in the short run. Or that even some top congressional leaders are raising eyebrows. It's election season, and presidential contenders and other politicians are jumping on the bandwagon.
"I think we are in a political crazy time. Some of this stuff being proposed borders on the irresponsible," said Frank Verrastro, director of the energy and national security program at the Center for Strategic and International Studies.
In particular, said Verrastro, the talk of suspending the federal 18.4-cents per gallon federal tax on gasoline and 24.4-cents per gallon tax on diesel fuel during the summer driving season "is just absurd. Economics 101 will tell you if you cut the price, you increase demand. That means you tighten the market. Then the price goes back up. It goes to oil companies."
The Center for Strategic and International Studies (CSIS) is a private, tax-exempt institution focusing on international public policy issues. Its research is nonpartisan and nonproprietary. CSIS does not take specific policy positions; accordingly, all views, positions, and conclusions expressed in these publications should be understood to be solely those of the authors.
