In the case of a gas-tax holiday, it would look as if all three presidential candidates have clashed with one another. However, it would seem to be two on one, instead of all three candidates going at it against each other. So far, Democratic co-frontrunner Senator Hillary Clinton of New York and presumed Republican nominee Senator John McCain of Arizona are pushing a federal government supported gas-tax holiday.
However, Clinton insisted that her version would be much different than McCain’s. Under McCain’s gas-tax holiday plan, the 18.4 cents per gallon tax would be lifted during the peak months of summer travel. At the same time, the 24.4 cents in regards to diesel fuel would be suspended.
That plan has come under fire from Clinton. She said that it would cost the government billions of dollars. Clinton said that those billions could improve roads across the country.
Under Clinton’s plan, she would use a “windfall profits tax” on oil companies. This is to make up for lost revenues. In short, oil companies that make a certain amount of profits would be taxed 50%. Also under Clinton’s gas-tax holiday plan, gas prices will be monitored.
However, Obama attacked both of their plans. Obama said that he supports neither of their proposals. He said that their plans were nothing more than a quick fix. In a nutshell, Obama said that neither Clinton nor McCain were thinking long term.
Obama also took the opportunity to jab at their time in Washington.
“It’s typical of how Washington works – let’s find some short-term, quick fix, even though we’re not really doing anything,” Obama said firing at both Clinton and McCain.
Obama has his own plan. But analysts have put forth their criticism towards Obama’s plan, where the windfall profits tax would be used to help those with low-incomes to pay off their energy bills. According to analysts, Obama’s plan would do little.
Recently, McCain has unveiled his health care plan while giving a speech in Tampa, Florida. Under his health care proposal, individuals would get a $2,500 tax credit while families would get a $5,000 tax credit.
It would look as if the three will be clashing on Iraq, health care, and the cost of fuel. However, the gas-tax holiday can be linked with economy; which is the number one issue on the top of the minds of most voters. So far, McCain has not addressed the economy much as Iraq has been his main platform.
McCain said that Iraq will either make or break his candidacy. However, the events going on in the Middle East can also be linked to the cost of fuel and the state of the United States economy.
I had already written about the approximate cost of the Iraq War at the current moment. According to Nobel Prize-winning economist Joseph E. Stiglitz, the approximate cost of Iraq costs at least $12 Billion a Month. Stiglitz is the author of the “Three Trillion Dollar War.” The cost of Iraq could be tied into the cost of fuel and the economy.
Also, two Senators had requested a Congressional inquiry into Iraq’s oil revenues to see if the country can pay for the rest of its own reconstruction. In a letter, the two Senators have explained that while Iraq has money in banks across the world, it has done little to pay for the reconstruction. So far, the costs of reconstruction have come out of the pockets of US taxpayers.
In a study by the Pentagon, the security situation was blamed for the slow reconstruction of Iraq. The study adds that government corruption was the cause for the current security situation in Iraq.