White House: Repeal Tax Breaks for Oil Companies
Published: Tuesday, 26 Apr 2011 | 2:54 PM ET
By: Reuters
President Barack Obama, acknowledging high gasoline prices could sap the U.S. economy, on Tuesday urged Congress to end tax breaks for oil and gas companies and called on Republicans to back his plan.
Will an end to tax breaks on oil and gas companies increase prices at the pump?
The better question is whether this move will actually result in viable alternative energy. Personally, I think it is a stupid move. High oil prices have nothing to do with domestic oil exploration and production. It does have everything to do with unrest in the middle east and fear-driven speculation. This is another example of a fundamental failure to address the basic problem. First he initiates a drilling embargo, now specifically targets the oil sector again. It would be one thing if there were a real viable alternative for personal transportation and trucking that needed to be developed, but there is nothing as of now. Even if a technological breakthrough came to pass this year, it would take years to switch from oil to the alternative. The best approach is to continue to support domestic oil production while investing in alternatives for the future. Poring money into alternative energy is no guarantee that something will come out of it. It is very much akin to the Saudi approach to education in which they try to buy it instead of working for it the old fashion way. Earning it. Oh, I do see even harder times ahead for the US.
I agree completely RF. We can't be forced into clean energy when our country is nearly broke and the technology is far from affordable or practical. I have no problem with not subsidizing oil companies (or any company for that matter), but it surely won't give us any price relief. It only gives Obama a bad guy to blame and make himself look like a hero. In the mean time, any cost increases to the oil companies will be passed along to us....yippie!
The left is angry because they are now being judged by the content of their character and not by the color of their skin.
