The Nation: Jimmy's Carrot-and-Stick Plan

Right up to the last moment, the President, Energy Adviser James Schlesinger and other officials continued to shuffle the program's blend of penalties and incentives. The major elements, as they stood at week's end:

GASOLINE TAX. The current 4¢-per-gal. federal tax on gasoline might eventually be increased in stages to as much as 54¢, with the aim of encouraging motorists to use less gas and switch from gas guzzlers to smaller cars with better mileage. The tax-setting machinery would be complicated. First the Government would gauge actual nationwide gas consumption over a set...

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