John McCain has said that he doesn’t know much about economics, but this morning he set out to prove that fact.
McCain urged Congress to institute a “gas-tax holiday” by suspending the 18.4 cent federal gas tax and 24.4 cent diesel tax from Memorial Day to Labor Day. He also renewed his call for the United States to stop adding to the Strategic Petroleum Reserve and thus lessen to some extent the worldwide demand for oil.
At the very point when the market is sending signals to consumers to buy more fuel efficient vehicles and the United States Treasury is increasing its borrowing to fund McCain’s War surge, McCain want to make gas cheaper so people will keep buying SUV’s and cut income to the Treasury so we will have to borrow more from the Chinese government. Back in February during a Republican Debate, McCain said he was going to cut wasteful spending so much that we would no longer have to borrow from the Chinese. He’s a magician!
These brilliant economic strategies probably issue from the mind of McCain’s key advisor, former Senator Phil Gramm, a man who did more damage in his short Senate tenure than most bad politicians can do in a lifetime.
“Phil Gramm’s career was as the most aggressive advocate of every predatory and rapacious element that the financial sector has,” Mr. Galbraith said. “He’s a sorcerer’s apprentice of instability and disaster in the financial system.”
The very idea of Phil Gramm as Secretary of the Treasury boggles the mind.