Flex fuel credits have helped make a joke CAFEWhy gas-guzzling is so popular in the US?
That's an easy question, right? Because gas is so cheap and there are some laws restricting gas-guzzlers.
However, if a wild embrace efficiency, what is the better path? New laws such as higher CAFE requirements or higher gasoline costs through increased gas taxes?
In theory, both would lead to greater efficiency, but one can do so more efficiently?
Today, transparency is an important political sound bite. Unfortunately, since 62 mpg 2025, for example, actually means something more like 40-something miles per gallon for cars and another number for trucks, CAFE naturally is not very transparent simply because it is not simple and straightforward. Then add such things as fuel Cafe credits that enable gas guzzlers to violate CAFE if equipped with fuel technology that is never used by most flex flex flex fuel vehicles, and cafes real world results are starting to be even more opaque and disappointing.
Still, who may not even the worst part of CAFE.
"What we are going to do is tax production here, and that cost us jobs," claimed recently GM CEO Dan Akerson with regard to higher CAFE standards. Instead, just as Ford CEO Alan Mulally Akerson suggested that an increase in gas taxes was the better solution.
Of course, many also suggest that a gas tax is not very transparent, as our representatives in Congress keep gas tax money to use for expenditure than transport. Unfortunately, while Washington loves to talk about transparency, few actually are prepared in the practice. It's all about what they say, not what they do.
Still, if automakers CAFE compliance, how are they to know which vehicles will sell the best once again redesigned and increased expenses be added?
On the other hand, can a gas tax, determine the answer to that question immediately forces of the market.
Sure, some will hit hard by such a gas tax. So, in the short term – say 5 years or so-the cost of the gas return to consumers most affected by such a tax. After 5 years, consumers and industry. Also, maybe a tax gasoline can also help resources such as cleaner domestic natural gas, in particular as part of a comprehensive and long-term energy policy. Hence, use of natural gas might be cheaper than current gasoline prices.
Then again, this whole discussion probably really not anything because what way forward is almost certainly forged the most inefficient, as the one with the least amount of transparency will. We the people just don't care much for the truth and politicians like to exploit that fact.
Anyway, while I know most of the politicians think about office as a career and that makes things such as gas taxes political suicide and transparency, it would certainly be nice to see a few politicians sacrifice office for the truth. Things must change, but if we have a process of change that transparent efficiency includes not performing, we will spend a lot of money badly to solve our own.
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