For Questions 26 and 27, assume that two different coastal cities are competing to have their location selected by the Federal Government to build a Major Deepwater Shipping Port for large container ships. The cost to build the port and more highway access is $200MM but the city that gets project will get $16MM in fees per year as well as jobs for 3,600 people. City A spends $1,280,000 on lobbyists, presentations and trips to Washington, D.C. to try to win the project and City B spends $1,180,000 to try to win. The Total loss to Society of the entire process of selecting & building the Shipping Port is: Question 27 options: $202,460,000 $186,460,000 $200,000,000 $16,000,000

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To calculate the total loss to society we need to consider the costs incurred by both cities and th... View the full answer