To Avoid an Increase in the Local Property Tax, Sullivan

question 69

Multiple Choice

To avoid an increase in the local property tax, Sullivan County, New York, proposed a 2 percent hotel tax, which presumably would be passed on to tourists. The hotel industry argued that the tax would hurt hotel business. They are really arguing that

• A)tourist and convention demand is inelastic, so hotel bookings will decline.
• B)tourist and convention demand is very elastic, so hotel bookings will decline.
• C)they would prefer a property tax increase instead.
• D)it is unfair to tax people who do not live in the area.

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Definitions:

Sediment

Particulate matter that settles at the bottom of a liquid or is transported by water, wind, or ice.

Waterlogging

The saturation of soil with water, usually due to excessive rain or irrigation, which can lead to reduced oxygen availability for plants.

Irrigation

The artificial application of water to land to assist in the growing of crops and vegetation.

Soil PH

A measure of the acidity or alkalinity of soil, significantly affecting nutrient availability, microbial activity, and plant growth.