16. Application: Elasticity and hotel rooms The following graph input tool shows the daily demand for hotel rooms at the Peacock Hotel and Casino in Las Vegas, Nevada. To help the hotel management better understand the market, an econom ist identified three primary factors that affect the demand for rooms each night. These demand factors, along with the values corresponding to the initial demand curve, are shown in the following table and alongside the graph input tool. Demand Factor Initial Value Average American household income $40,000 per year Roundtrip airfare from San Francisco (SFO) to Las Vegas (LAS) $200 per roundtrip $250 per night Room rate at the Grandiose Hotel and Casino, which is near the Peacock Use the graph input tool to help you answer the following questions. You will not be graded on any changes you make to this graph. Note: Once you enter a value in a white field, the graph and any corresponding amounts in each grey field will change accordingly ? Graph Input Tool Market for Peacock's Hotel Rooms 500 Price (Dollars per room ) 450 350 400 Quantity Demanded (Hotel rooms per night) 150 350 300 250 Demand Factors 200 Average Income (Thousands of dollars ) 150 40 Demand 100 Airfare from SFO to LAS (Dollars per roundtrip) 200 50 0 0 50 100 150 200 250 300 350 400 450 500 Room Rate at Grandiose (Dollars per night) QUANTITY (Hotel rooms ) 250 PRICE (Dollars per room ) For each of the following scenarios, begin by assuming that all dem and factors are set to their original values and