When Congress was debating a bridge loan deal for GM and Chrysler recently, many were pushing for even more stringent fuel economy standards or even requiring the companies to build all hybrids within a few years. Many of these same politicians were also those pushing for action to lower gas prices when they were at their peak earlier this summer. Siry dares to suggest Congress should either bite the bullet and tax fuel prices up to the $5-6 per gallon or else abandon CAFE altogether. Much to the chagrin of many of the readers here, I've suggested the same thing in the past and still believe this course of action to be the right one. As earnest as many ABG readers may be about getting off fossil fuels and reducing emissions, we must face the fact that the vast majority of Americans vote with their wallets. When gas prices are cheap, they simply do not pay attention to efficiency. If fuel prices don't rise, the extra cost of meeting CAFE will do nothing more than destroy the industry without actually accomplishing the stated goals of reducing fuel consumption.
[Source: Darryl Siry's Blog]