Fermatean Fuzzy Group Decision-Making Based CODAS Approach for Taxation of Public Transit Investments

Abstract

The provision of public goods is always a controversial issue in many aspects. Even some additional financial resources can provide public transit systems, the tax revenues constitute a significant part of the investments in practice. Yet, governments should make an important decision regarding tax schemes. This article focuses on how to identify the best tax scheme to finance public transit investments. A three-phase Fermatean fuzzy group decision-making approach is developed to solve the highlighted problem. Qualifications and experience of experts are considered to distinct their reputations. A Fermatean fuzzy direct rating method is introduced to evaluate criteria importance. A Fermatean fuzzy combinative distance-based assessment method is formulated to assess tax schemes. The study provides valuable policy implications and decision-making guidelines using a real-life case. The results show that beneficiaries of public services should pay more, and tax collectors are encouraged to use progressive tax schemes instead of the equal distribution of the cost to the taxpayers. The sensitivity analysis to changes in the threshold parameter is given. The comparative analysis with all state-of-the-art Fermatean fuzzy set based multicriteria decision-making methods is provided. The Fermatean fuzzy group decision-making approach is highly robust and reliable. The approach can solve other public transportation problems.