Rockefeller Center is a major commercial building complex in New York City. Suppose that Mayor Eric Adams were to impose a new annual tax of $24,000 on all businesses located in large commercial buildings such as those in Rockefeller Center (with every such business paying the full tax regardless of the amount of output that it produces). 

How would this tax affect the marginal cost of production for a business located in Rockefeller Center?

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A marginal cost refers to the increment in the cost of production when one more unit of a good is pr... View the full answer