Uploaded on 2020-05-21 by Nissarg

We all use these systems, which are often called "public works," and we expect them to function for us, but we don't like to pay for them. Many times the cost is hidden in plain view—added taxes to your utility and telephone bill, for example, may help pay for infrastructure. Even teenagers with motorbikes help pay for infrastructure with every gallon of gasoline used. A "highway-user tax" is added to each gallon of motor fuel (e.g., gasoline, diesel, gasohol) sold. This money goes into what is called the Highway Trust Fund in order to pay for repairs and replacement of roads, bridges, and tunnels. Likewise, each airline ticket you buy has a federal excise tax that should be used to maintain the infrastructure needed to support air travel. Both state and federal governments are allowed to add taxes to certain products and services in order to help pay for the infrastructure that supports them. The infrastructure may begin to crumble if the tax doesn't keep increasing enough. These excise taxes are consumption taxes that are in addition to your income taxes, which also can be used to pay for infrastructure.