Quote:
Originally Posted by opendoor
That doesn't make a whole lot of sense for a couple of reasons:
1) Gas prices are lower than they were a year ago, so they're not what's driving the current inflation number.
2) Any temporary reduction in taxes is basically a shell game where you lower inflation now but then increase it later when you add the taxes back in. It doesn't actually solve anything related to inflation other than temporarily making the numbers look better than they are.
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A year ago inflation was much higher than it was now. Oil prices are still way above the 5 years average now. So they are still contributing to inflation, just not as much as they were a year ago.
The idea with a temporary reduction in taxes is to deal with a temporary rise in oil prices. I don't see any government doing that though.