Increasing the federal gasoline tax in the United States is highly debated. A higher tax would reduce the nation’s dependence on foreign oil and have environmental benefits. Downfalls of a higher tax are the regressive nature of the tax and the unfair burden placed on drivers in rural areas. An increased gasoline tax is not popular with the public, so most politicians do not support a higher tax. An increased federal gasoline tax is a good idea if the increase is large and the additional revenue is used to reduce income taxes in a progressive manner.
Major Themes in Economics
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"Should the United States Increase the Federal Gasoline Tax?,"
Major Themes in Economics: Vol. 9
, Article 5.
Available at: https://scholarworks.uni.edu/mtie/vol9/iss1/5