3 ms·
Not taxed does not mean it is subsidized. Subsidy is when money is paid by the government to the airlines.
by testrun 3y ago
Not taxed does not mean it is subsidized. Subsidy is when money is paid by the government to the airlines.
- somewhereoutth 3y agoTax on fuel reflects the externalities to the whole of society, and arguably it is not high enough. So exempting tax (equivalently not charging for externalities) is indeed a subsidy, a transfer of wealth from government (and so society) to the airline operators.