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Scarce Fuel, Dumb Politics (www.lyrebirddreaming.com)

submitted 3 days ago* (last edited 3 days ago) by arbilp3@aussie.zone to c/australianpolitics@aussie.zone

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This blog piece, imo, explains well why a fuel excise cut is the wrong way to go in a fuel crisis that is only going to get worse and also provides numerous actions the govt can take (and should have taken before this) to help people with transport.

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[–] Eyekaytee@aussie.zone 6 points 3 days ago (2 children)

When something's in short supply, making it cheaper is an irrational response. Lower prices encourage higher demand. That's basic economics. If fuel is scarce, the priority should not be to stimulate more consumption of it. The priority should be to conserve it for uses that matter most.

Exactly what I said!

The problem in regional areas is that the current demand is causing petrol to fly off the shelves so fast they can't keep up and stations are running out

Why would you want to make a product that can't currently keep up with demand cheaper?

Lost their minds

[–] MisterFrog@aussie.zone 2 points 1 day ago (1 children)

It's because Labor is now a centre right, tax cutting government, sadly.

I think they're so worried about the optics of rationing they're trying literally everything else.

And painting themselves into a corner because it's not like they can increase the excise again until the war is over now...

[–] Eyekaytee@aussie.zone 2 points 1 day ago

yeah this is a classic case where in order to try and blunt the attack of the right they've shot themselves in the foot

[–] arbilp3@aussie.zone 7 points 3 days ago

They haven't lost their mind, they just don't know how to use it intelligently and/or trying for the populist appeal.