At present, 100,000 tourists visit a city per year, spending an average of $500 per visit. The
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At present, 100,000 tourists visit a city per year, spending an average of $500 per visit. The government is considering a subsidy removing the toll on a highway entering the city for visitors (not locals) of $25. If they do so, 105,000 tourists are expected to visit. Analyze this (potential) policy.
Related Book For
Cost Benefit Analysis Concepts and Practice
ISBN: 978-0137002696
4th edition
Authors: Anthony Boardman, David Greenberg, Aidan Vining, David Weimer
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