NTL Record

Title The Role of Federal Gasoline Excise Taxes in Public Policy
Record ID 31943
Personal Name
Creator
Pirog, Robert
Source 12p. in various pagings
Corporate Creator Library of Congress. Congressional Research Service
Publisher Library of Congress. Congressional Research Service
Publication Date 20090816
Language English
Abstract American drivers, compared to those in other industrialized nations in Europe, pay relatively low federal, state, and local gasoline and diesel excise taxes. The Federal taxes are used specifically to fund annual highway construction, maintenance, and mass transit. Over the years, proposals have come forth to raise the federal tax as a way to address long-standing national policy concerns, including U.S. dependence on imported oil and various environmental problems related to large volumes of gasoline consumption. Because the demand for gasoline is quite price insensitive (inelastic), significant revenues could be generated with little change in real consumption, even with a relatively low tax increase. A more substantial tax increase would likely be needed to change consumer preferences and business investment decisions. Any debate on modifying the gasoline excise tax will likely revolve around these tensions.
Rosap ID dot:37871
Rosap URL https://rosap.ntl.bts.gov/view/dot/37871
TRT Terms Climate change; Fuel taxes; Public policy; Policy making
General Subjects Fuel; Gasoline; Automobiles; Energy; Highways; Taxation
Geographical
Coverage
United States
Report Number R40808
Resource type Research Paper
URL https://ntlrepository.blob.core.windows.net/lib/31000/31900/31943/R40808_20190102.pdf
Format PDF
Database NTL Digital Repository