Subscribe Taxes and Dead-Weight Loss Answer one of the two prompts below. During the 1990s, the U.S. Congress imposed a high sales tax on yachts, figuring that the rich could afford to pay for this luxury. But so many jobs were lost in the boat-building industry that the measure was finally repealed. What did Congress get wrong in imposing this luxury tax? In terms of elasticity are yachts highly elastic or inelastic? This tax was repealed within a few months, if congress had left the tax in place would the sale of yachts rebounded? Why or why not? Rubrics Discussion rubric - Initial Response Start a New Thread Filter by: All Threads