The local government has decided to impose a tax on travellers arriving at the local airport. a) How will this affect the local restaurant sector? b) Is this an example of exporting taxation? c) Does the benefit of such a tax change if the airlines are locally based?
The local government has decided to impose a tax on travellers arriving at the local airport. a) How will this affect the local restaurant sector? b) Is this an example of exporting taxation? c) Does the benefit of such a tax change if the airlines are locally based?
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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7. The local government has decided to impose a tax on travellers arriving at the local airport.
a) How will this affect the local restaurant sector?
b) Is this an example of exporting
c) Does the benefit of such a tax change if the airlines are locally based?
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