Wednesday, May 11, 2011

Wouldn't it be great if we paid less tax on fuel?

Be careful what you wish for.

The USA has the lowest petrol taxes of just about any developed country. So you would think that because they spend about half of what we do on a litre of motor fuel, petrol prices wouldn't be much of an issue. In fact, the opposite is the case. They have seen a much higher percentage increase in the forecourt price as the underlying oil price has risen, and because super-cheap fuel has enabled them to become highly dependent on big, thirsty vehicles for everything from shopping to commuting, and because they typically live further from their workplace than the average European, the sudden increase in the oil price has really squeezed ordinary Americans. This is revealed in an interesting BBC 'vox pop'.

No comments:

Post a Comment