A worker views leisure and income as “goods” and has an opportunity to work at an hourly wage of $10 per hour.
a. Illustrate the worker’s opportunity set in a given 24-hour period.
b. Suppose the worker is always willing to give up $12 dollars of income for each hour of leisure. Do her preferences exhibit a diminishing marginal rate of substitution? How many hours per day will she choose to work?

$1.99

5

1

  559




Buyer's Ratings
Social connections


Created

Compatibility

Files Included

November 15, 2011

MS word

doc



LiveZilla Live Help
Parse Time: 0.388 - Number of Queries: 81 - Query Time: 0.25483499479675