Why do you think municipality tax things that travelers buy


Problem

Use the following news clip to work Problems 1 and 2. Tax bites on travelers go deeper Travelers complain about delayed flights, but they don't seem to be bothered by increased taxes on flights, car rentals, and hotel rooms. Taxes raise the average car rental bill 28 percent at airport locations. More municipalities are taxing airport rental customers to fund local venues, such as sports stadiums

1. Describe the effect of these municipal taxes on car rentals at airports. Who pays more of the tax: the renter or the car company?

2. Why do you think municipalities tax things that travelers buy as a way of raising the revenue to build local venues?

The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.

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Microeconomics: Why do you think municipality tax things that travelers buy
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