Re the bolded:. False. Competitors also have to pay the new, higher tax as well. The result is that ALL scooters will be more expensive. ALL scooter companies will be raising the price of scooters roughly the same amount. The consumer pays more in order to cover the tax, but the scooter sellers are still competitive with each other.
Until one of the competitors moves his production plant to Mexico or another country where they do business. Then they will have a lower price, how does that work for those with the higher prices? Do you remember what happened when Volkswagon started selling cheap, stripped down cars American's loved! Remember the vase?