Business, 09.10.2019 02:30 sarahpaigeallen

To raise revenue, the mayor decides to charge hotels a tax of $10 per rented room. after the tax is imposed, the going rate for hotel rooms rises to $108, and the number of rooms rented falls to 900. calculate the amount of revenue this tax raises for smalltown and the deadweight loss of the tax. (hint: the area of a triangle is ½ × base × height.)

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To raise revenue, the mayor decides to charge hotels a tax of $10 per rented room. after the tax is...