The president is now trying to distract from his own policies by blaming the oil companies for high gas prices, and he wants to increase their taxes, by taking away “subsidies.”
a) Does he really think that increasing oil companies’ costs will reduce gas prices? Apparently the question tied Jay Carney up in verbal knots.
b) Do oil companies get much in the way of “subsidies” that other companies don’t? If he’s talking about things like accelerated depreciation and R&D tax credits, this is helpful to any company, not just an oil company. If he is proposing to take it away from them alone, isn’t he simply punishing a vital industry because it’s making him look bad?
Ramesh Ponnoru makes a good point:
The big energy subsidies, on a per-unit-of-energy basis, are for ethanol, solar, and wind power. Get rid of the oil subsidies — and the “oil subsidies” — and nothing much changes. Get rid of the subsidies for those other energy sources, and those industries disappear. Just ask their lobbyists.
And good riddance, too, if they can’t make it without Uncle Sugar.
[Update mid afternoon]
“The president doesn’t know squat about energy production.” Which, unfortunately, doesn’t distinguish it in any way from most other subjects.