“Windfall” Taxes Not the Solution to Energy Challenges

Texas Public Policy Foundation: February 01, 2006
Innovation, Investment, Free Market Keys to Success
By Bill Peacock

High winter heating bills are hitting homeowners in their pocketbooks while analysts are warning motorists of $3-per-gallon gasoline next summer. At the same time, oil companies are reporting record profits amidst press accounts of low royalty payments to the government.
Everyone is taking this opportunity to make political hay. Democrats, wanting to use the issue to re-take control of Congress, call for taxing “windfall profits.” Anxious Republicans press the oil companies to lower their costs. So-called consumer advocates urge increased federal oversight to end “price gouging.” Read More......