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On BBC TV this morning, Elliot Morley (government minister) is interviewed about CO2 emissions from aircraft (apparently aviation and marine emissions are excluded from the Kyoto targets!?).

He is asked why a tax is not imposed on avgas (or on flights) to restrict demand. His answer - people will just pay the tax so it would be ineffective. It appears, by implication, he/the government believes that tax on road fuel (taxed at a rate of ~200%) does restrict demand.

So we are asked to believe that spending on air travel is largely non-discretionary, thus demand is inelastic, but spending on fuel for cars is largely discretionary, so demand is elastic.

Unreal.

We pay tax on air travel.

When the build a train link to continental North America I will consider it as an option.

But for now I will fly there....

I have said it before but we do pay Airport Tax, which can be 30% or more of the cost of a ticket. 100% if you are redeeming air miles

So Air travel is not tax free.

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Speed camera policy Kills

No, but it isn't 200%+ of the fuel cost either.

"Tax all fossil fuel use at the same rate - it is the only fair way"

I don't think it is likely to be practical to tax avgas (absent a broad international consensus) because it's an international commodty.

Not really sure what the right answer is - I was just dumbfounded by the hypocrisy/sophistry of the argument "we can't tax avgas because demand for air travel is inelastic".

excuse my basic economic theory but isn't air travel one of the more 'elastic' modes of transport?

Like the housing market its one of those barometers of the economy.

Undoubtedly - thus my incredulity.

Sorry, Morley is an MP local to me, watched him at a country show, when someone said something to him that he didn't agree with, his complete arrogance shone through. As if to say, I am a government minister, how dare you disagree with me.

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Semper in excreta, nur quantitat variat.