Last month the Obama administration announced it would release 30 million barrels of oil, the largest ever, from the U.S. Strategic Petroleum Reserve. Only those without an understanding of basic economics would applaud such a move.
The various congressional bailouts have been touted as essential to the nation’s economic security. So long as the notion of economic security remains vague and abstract, it has wide support. But anyone who examines the details should realize this so-called security threatens our freedom and stability.
At least 40% of the federal gasoline taxes are wasted on non-highway items of dubious general welfare. And 2.86 cents of the revenue is used to subsidize mass transit unused by all but a few large cities.
As an additional inequity, Virginia is a donor state. That means that Virginia, like most southern states, sends the government more in gasoline taxes than it receives in federal pork. We don’t even get to waste our own money! Most of the pork is sent to the Northeast and to states with more influential senators.