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Home >> Gasoline Price Comparison: Europe vs. U.S.
 



What does Europe do different?
Posted: August 12, 2009

How can the countries in Europe manage to come out of the recession sooner that WE ? With an avergae Gasoline Price of $7.50 a gallon ?

Is it true that the U.S. Economy would collapse if the Federal Government would increase the gasoline tax by just a dollar per gallon?

What if the taxes would push the price per gallon up to a casual $6.00 ?

That's about the price drivers in England, Germany and Italy had to paid on average 15 years ago.


I should rephrase the question. What can and are countries doing over there with the "excess" tax income?

Check it out on this official government-updated web site: Weekly Retail Premium Gasoline Prices.
(Scroll down to the bottom of the page to see
today's pricing. Take a look at other dates as
well, e.g. when we paid $4 just about a year ago.)

So why are their economies still running - at minimum comparable to ours - with such high prices on driving taxing everyone in the transportation chain: individual, taxi drivers, truckers?

First of all let me say this - if the Feds would add $3 tax to a gallon the U.S. would be running into real deep problems. So we can't do that. There has to be a more settled approach. Europe has seen these high taxes on gasoline for decades and the paybacks are now tremendous. Just look at their infrastructure (autobahn, public transportation) and at current "public works" projects (the Gotthard Tunnel) to count a few.

In comparison - is there any project here in the homeland that could come even close?

Where else does the Money go?
Germany has as a whole one of the largest solar panel installations in the world. And the weather there is comparable to Seattle - all year long. Cloud cover that is. Panel installations are highly subsidized. There seem to be at least two Chinese solar panel manufacturers that went public because of the demand for panels in Europe. The Silicon Valley startup NanoSolar has two plants. One in the U.S. and the other one in Germany. Total production of their film-based panels is sold out for a year - to Germany!

The Cash for Clunkers concept was born and applied in Germany and is very successful there. We adopted it - with a few changes - still very good, but see these incentives consumers see in Germany: some cars are up to 45% off.

Point made ?
BTW: Most countries in Europe have a sales tax that's at an average of 16%.

So what could be wrong by adding 50 cents per gallon in 2010 ?
And another 50 cent for 2011.
Since December 2008 gasoline prices increased by a dollar. Did you feel it?

So stop complaining, America and take action so we can start rebuilding the country. Your ancestors came here and worked hard. Has complacency and the feelings of entitlement taken over this generation?

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