Your Taxes Already Up $700

John Seiler:

Jerry Brown’s $12 billion tax increase, which he wants on a June ballot, comes to about $1,000 a year per family.

Reuters just reported that the average American family will pay $700 more a year in gas costs, due to the skyrocketing price at the pump:

The average U.S. household will spend about $700 more for gasoline in 2011 than it spent last year, bringing total motor fuel expenses up 28 percent to $3,235, based on an annual pump price of $3.61 a gallon, the department’s Energy Information Administration said.

Retail gasoline prices soared by 38 cents over the last three weeks to $3.52 per gallon, according to the EIA, because of high crude oil costs due to unrest in the Middle East.

A better analysis is that since 2001 the Federal Reserve Board has been inflating the value of the dollar, as I detailed here on CalWatchDog.com. It’s much like what happened in the 1970s.

And inflation is a tax. So we already face $700 in tax increases for the next year. If Brown has his way, then we’ll have another $1,000 in taxes. That’s $1,700 in new taxes.

And let’s not forget increasing costs, from inflation, for food, heating oil and so much else.

No wonder the California economy is stagnating.

March 10, 2011