Gretchen has a part time business as an exercise coach. She is very good at it...

 

Transcribed Image Text:

Gretchen has a part time business as an exercise coach. She is very good at it and therefore can work as much as 10 hours each weekend. She earns $60 per hour. In addition, her regular job pays $500 per week. Draw her opportunity set (remember that leisure is on the horizontal axis). She gets a raise in her regular job to $600 per week. What happens to her opportunity set? Select an answer and submit. For keyboard navigation, use the up/down arrow keys to select an answer, a rotates about the vertical iintercept becoming steeper b. rotates about the vertical intercept becoming flatter shifts out (to the right) parallel d shifts in (to the left) parallel Gretchen has a part time business as an exercise coach. She is very good at it and therefore can work as much as 10 hours each weekend. She earns $60 per hour. In addition, her regular job pays $500 per week. Draw her opportunity set (remember that leisure is on the horizontal axis). She gets a raise in her regular job to $600 per week. What happens to her opportunity set? Select an answer and submit. For keyboard navigation, use the up/down arrow keys to select an answer, a rotates about the vertical iintercept becoming steeper b. rotates about the vertical intercept becoming flatter shifts out (to the right) parallel d shifts in (to the left) parallel

Answer rating: 100% (QA)

Her income and leisure assuming the 10 hours she can devote to her part time job goes in leisu... View the full answer