How would repealing the minimum markup law impact gas prices?

Remaining Ad Time Ad - 00:00

Eau Claire (WQOW)- Governor Tony Evers is seeking a gas tax increase to generate more money for road repairs.

Gov. Evers also wants to balance that out by eliminating the minimum markup law, which requires gas stations to charge at least nine percent more than what they pay for gas.

The minimum markup law protects small businesses, because without it big chains could sell their gas at cost or even below cost and drive out smaller competitors who could not afford to do that.

UW-Eau Claire Economics Professor Thomas Kemp said if the minimum markup law is removed, gas prices would fall, but then the gas tax would bring the price back up, so it would essentially even out.

“Gas prices are going to affect their budget in a meaningful way,” Kemp said. “Anything that can be done to maintain the state’s financial position while minimizing the impact on Wisconsin households, I think is a step in the right direction.”

Kemp said with a Democratic governor and a Republican legislature, he’s not sure if Evers’ plan will ever become law.

Shannon Satterlee

Shannon Satterlee

More News

STORMTRACKER 18 WEATHER
Eau Claire
26°
Menomonie
22°
Chetek
21°
Durand
28°
Ladysmith
24°
Neillsville
30°
Rice Lake
21°
New Richmond
22°
Black River Falls
32°
Medford
26°
River Falls
25°
Duluth
19°
Green Bay
35°
La Crosse
35°
Madison
35°
Milwaukee
40°
Twin Cities
25°
Connect with WQOW
Top Stories
Scroll to top
Skip to content