Quote:
Originally Posted by Cali Panthers Fan
You pay for your airline tickets, and included in that is an airport improvement tax that all users of the airport are forced to pay. The airline doesn't cry foul that they're losing revenue because without an airport they don't have a place to house their flights which create their revenue in the first place. It's a way to get users of the facility to contribute to a proper and modern airport without having the airlines foot the bill. It seems really straightforward to me.
The point is that flights are pretty much the same price regardless of which airport they are flying out of. They throw the airport tax on top of their business model and ask consumers to pay the extra.
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Airline tickets are a perfect example. I'm willing to pay $199 to fly to Vancouver for the weekend. It makes no difference to me if there is improvement tax, surcharge tax or excise tax included or not included at any point in time. The bottom line is the price that I, as a consumer, pay. I will not say, 'well the flight is only $199, and the rest is improvement tax so I'll pay $225 total' - my willing to pay is less than $200, so the improvement tax comes out of the price the airline could otherwise charge me without it. At $225 I choose not to purchase the product.