Hello Robert,  I appreciate your sharing your work, as always, and expanding the circle your friendship to include us, by interviewing Jerry.

 My first question is one of clarification: (I skimmed down and notice that Alan also responded to this, which I hope to get to...time permitting):

"First, eliminating the direct subsidies would amount to only a nickel a gallon or so. Those subsidies spread across all of the diesel and gasoline we use amount to very little per gallon. I am not defending the subsidies, I am just saying that the effect will be small and more needs to be done like a direct fossil-fuels tax."

 Could you possibly explain a little more?  (And apologies in advance, if I have not understood your views from previous posts.)

   My questions are along these lines:  

1) By referring to the "nickel or so", do you mean that you believe the benefit of any kind of monetary "fixing", for example, taxes, or subsidies, comes in...where, exactly? Let me try again. Okay, you are saying that eliminating subsidies "only amounts to..." X. (Whatever.)  

What is the benefit you would be aiming for as an end goal, in any case?  I read your sentence as though you are saying: "Eliminating subsidies is not enough..."
Okay, so my question is:  Enough on the road to...what, exactly?  

Do you see my point, here?  (I'm being completely sincere, BTW.) Are you saying that the end goal you envision is less consumption by the gasoline-buying public? And, across the board - ?    

Or, eg.:  "Robert's Hypothetical Goal: Americans purchase less gasoline. Strategy: Make gasoline more expensive. How do subsidies fit in? Not much, one way or the other." Would this be a fair reading of this first sentence?

 2) Another question:  How does the OC profit margin you speak of (I believe you said it's about 10%) compare to the subsidy, when translated to the same "price per gallon" terms?

 3) If this is "the goal" or "Goal #1", then could you perhaps make it a little more specific;  and also add specificity in terms of elements of the strategy? Example: Goal: US gasoline consumption cut by 10% per year. Strategy: This could be achieved by X.

 4) And, can this goal stand alone? Or, must it be accompanied by contingent goals?  

 5) I have further questions: perhaps to take up later. Say, if the "Goal #1: lower gasoline consumption",  on the difference in impact of each strategy (subsidy, tax) an each stakeholder, OCs, consumers, and subsets of consumers - i.e,. households, businessnes, etc.) And, perhaps first, a question:  Can the goal be achieved by other means equally valid? For example, if there were a 50 MPH speed limit, this might be equal to X % lower consumption...(?)