[Weekly Compilation of Presidential Documents Volume 29, Number 7 (Monday, February 22, 1993)]
[Pages 206-207]
[Online from the Government Publishing Office, www.gpo.gov]

<R04>
Exchange With Reporters Prior to a Meeting With Democratic Congressional 
Leaders

 February 15, 1993

Energy Tax

    Q. Mr. President, if I could ask a specific question. What is----
    The President. ----I thought specific--[laughter].
    Q. You don't have to get into too much detail, but from your 
perspective what's more progressive, a broad-based energy tax based on 
BTU's or an ad valorem-type of energy tax? What would be more 
progressive for the middle class?
    The President. Well, I think, first of all, it's hard to--you can't 
evaluate one of these things without seeing the whole package. But I 
think a BTU tax is, because an ad valorem tax reinforces price changes. 
In other words, if you have an ad valorem tax and the price of one fuel 
goes up, then the tax rate goes up. So, it would aggravate whatever 
price changes are out there in the market, and that would hurt the 
consumers more.

[[Page 207]]

     Q.  Have you settled on a BTU tax?
    The President.  I answered a very specific question in a photo op. 
[Laughter]

Note: The exchange began at 1:45 p.m. in the Roosevelt Room at the White 
House.