Comment by da_chicken
8 hours ago
> We don't do this for gasoline
No, but commercial trucks use diesel, which carries about 25% higher taxes per gallon. And vehicle registration on semi-trailer trucks is significantly higher as well. They pay, on average, between $25,000 and $30,000 in taxes and fees each year.
> Turns out markets are pretty good when you leave them alone.
No, they aren't. They're ridiculously bad when you leave them alone because someone captures the market, ramps up anti-competitive practices, and immediately begins rent-seeking as hard as possible.
Free markets are pretty good at finding good prices. Markets that are left alone do not remain free. That lauded "self-interest" encourages businesses that have reached nearly 100% market share to increase profit in other ways.
"Someone captures the market" is the thing that happens when the government micromanages them. Laws that charge more per unit to high users aren't anti-trust laws. A farm doesn't have higher market share in food than Google has in a tech market just because it uses more water.
Heavier commercial trucks that run on diesel tend to cause more damage. Scales with roughly 4th power of axle load.
That's a bad argument. There are gasoline trucks with a GVWR of ~20,000 pounds and diesel cars that weigh less than a Honda Accord. If you actually wanted to do that then you'd instead do something like tax based on axle weight and miles traveled, e.g. by reading the odometer during inspections.
The better argument is that diesel is worse for air quality and then it's a pigouvian tax in proportion to how much you burn.
The realpolitik argument is that fewer people have diesel vehicles and democracy is two wolves and a sheep voting on what's for dinner. But taxing commercial trucks is also a pretty sneaky way of taxing ~everything while pretending to not, so it's also the principal/agent problem. Legislators want to spend money while pretending not to take it from you.