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1. In mid-1985, the U.S. Customs Service proposed a user-charge system for partial support of its services. They system would charge $2 for every arriving passenger on an international flight, $0.25 for passengers arriving by train from a foreign destination, and $2.50 for arrivals by boat. Fees to inspect airplanes would be $32 and to check passenger and freight carriers, up to $397. The customs system currently is financed by general revenue.
Does the proposal seem reasonable? Discuss its logic, advantages, and disadvantages.
2. Due City has decided to shift municipal garbage-collection financing from the property tax to user chargers. Describe some ways in which such a system could be implemented. Make certain that your system is primarily one of use charge, not a disguised tax.
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