Which has had more impact, Bush's tax cuts, or rising gas costs due to the devalued US dollar?

Question

Pump price to jump 20 cents next 2-3 weeks
http://news.yahoo.com/s/nm/20071112/us_nm/usa_gasoline_price_dc

dadvice1 (below) How about having a strong US dollar to purchase more of everythign with less money?

- everything - (above)

Answer 1

High gas costs aren't actually due to the dollar falling vs other currencies (since most oil and gas contracts are dollar-denominated to begin with), though the reverse may very well be the case. That is, high energy costs could be cause cost-push inflation in the US, which would put downward preasure on the dollar in currency markets.

The capital gains, dividend, marriage penalty repeal, and other tax cuts have certainly had a substantial effect on the economy, targetted as they are at investors and two-income households. Without them dis-savings rates would be even higher. If they'd been targetted at lower income households, instead, we might even be looking at runnaway 70s inflation (though we'll likely be looking at that soon, anyway).

The impact of high energy costs has been muted until quite recently, while the impact of the tax cuts has largely run it's course, so /right now/, you could say the tax uts have had more impact, but energy costs are still high, still rising, and the inflationary pressure they exert is still presumably building.

Answer 2

Your question is a little flawed. You equate the rise in gas costs as being a result of the devalued dollar. That is only a small, fairly insignificant reason for the rise in gas costs. Most of it has to do with speculators on wall street panicking. Some has to do with the fact that nations like China are becoming more and more industrialized, and using more petroleum products.

But, to the core of your question, I drive a fuel efficient car so gas price has very little effect on my life. I am pretty happy with the tax cuts. In the long run, hopefully the US auto giants will make cars more efficient - this would be a great end result. Even better, let's get more alternate fuel cars on the market.

Answer 3

The Canadian dollar is now about par with the U. S.$. large debt and out of whack stability of commerce isn't hurting all of us, basically maximum human beings. This absolutely did not start up with Bush yet no previous administration has been as damaging to our pastimes as this sloganeering traitor. convinced, he's a traitor because he betrayed our believe over and throughout again and offered out American pastimes. Can 01-20-09 get right here quickly sufficient?

Answer 4

Good question.

The tax cuts certainly helped us to continue a very long run of economic prosperity.

The Oil prices however have countered some of the good effect of those cuts.

The cuts are in our control, but the oil prices are not.

The huge drain of cash on our economy due to the Wars in Afghanistan and Iraq also have a devastating effect on our dollar and domestic economy.

It's a complicated issue. But What other country could do all that, still continue to build a space station and deploy two new aircraft carriers, rebuild two major cities N.O. and N.Y. and still have growth .

We will work through this problem and continue to grow, it's the American way.

God Bless America.

.

Answer 5

It really is a whole package of S*** , I am Republican, However we have some serious issues that are facing us. Yes the value of the dollar on the foreign market is crap. Housing is falling like a rock, Gas is going to hit 4 bucks a gallon.....well when is it we say that international business needs to take a break and support our own.....???? I know it is alot bigger then you and I but, I am a simple stupid guy....my twist on this is that America is a corporation....ok...if we don't keep the corporation healthy and solvent then....we failed our fiduciary duty. So let's send a little more money over sea's, or get a little more imports. NO it starts within and tarrifs......hey they need us, we don't need them........Only one guys opinion........Ken

Answer 6

Silly question...nobody ever complains about having more money in their pockets. The taxes added to fuel costs have had more effect than the fluctuating market costs.

Answer 7

Tax cut ?! You mean the $300.0 i got 8 yrs ago ??!

Gas prices is paralyzing the nation !!??

Best Regards.

Answer 8

I'd rather have more money in my pocket to pay for higher gas prices than to pay for both taxes and higher gas.

Answer 9

buy less save a landfill..........save a little farmer and don't buy junk food or sodas or booze