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The expected number of tourists visiting a destination this year is expected to be 100,000. In an attempt to increase this, the local government has
The expected number of tourists visiting a destination this year is expected to be 100,000. In an attempt to increase this, the local government has decided to provide a $50 subsidy to reduce of transportation cost. As a result, a total of 110,000 tourists visit. Before the subsidy, each tourist spent $475 per visit. stion a) If tourists continue to spend $475, does the increase in the number of visitors necessarily justify the subsidy? b) If tourists also spend 60% of the subsidy during their visit, does the answer to a) change
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