While oil companies reap "windfall profits" of about $.10 a gallon, Sheldon Richman points out that governments reap "windfall taxes" of about $.60 a gallon, six times more than oil companies. But voters are more inclined to elect a Congressman who promises to "end windfall profits" than one who promises to end "windfall taxes."
The average price of regular unleaded gasoline in 1980 was $1.25. When that figure is adjusted for the federal government's inflation of the money supply (which reduces the value of each dollar by creating new dollars out of thin air so that incumbent Congressmen can "bring home the bacon") the average price of gas in 1980 was $3.03, which is about what it is today.
Asking the government to "do something" about rising gas prices is like asking helium to "do something" about rising balloons.
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