Windfall Profits Tax
It's/He's Just Plain Stupid
Obama wants to give another $1,000 handout to help Americans deal with rising fuel costs.
Obama wants to pay for his gift by taxing the profits of oil companies.
Oil companies like profits, investors and creditors like profits, oil companies like investors and creditors, and they need investors and creditors to help finance major production improvements and expansions etc. etc. which increase supply and effieciency, and lower costs.
Increased taxes = decreased profits = increased financial costs = less production improvements, supply and efficency = higher costs at the pump.
Alas, taxes are one of the costs of doing business, but unless we are prepared to nationalize the management of oil companies and suffer the ill consequences of such a short-sighted stupid move (i.e. higher costs & shortages), we cannot prevent oil companies from passing their costs on to their customers.
Increase taxes on oil Companies = increased Gas prices for the rest of us. It’s a no-brainer.
Obama is either stupid, (mentally challenged when it comes to economics), or he thinks Americans are stupid if he thinks he can slip this one by them.