1. By using the supply and demand to calculate the wisdom of such a tax. Los Angeles is committed to raising $1 billion for a new stadium. It is considering$1 surtax on all cab rides because most cab rides are by non-residents.
2. By using the appropriate model to explain why Tokyo has won the right to host the 2020 Summer Olympics, but it might have made itself worse off by doing so.
3. A recent economic study found that the difference in prize money among the winners of downhill ski races and second-place finishers is much less than the difference in the professional golf tournaments.