Suppose Jenny has 16 hours per day to allocate between work and leisure and she earns a wage rate of $25 per hour. If at the utlity-maximizing level of employment (1.e., MRSY w), Jenny's MUL is 20 utils, what is her MUy? O A 08 utils OB 500 utils OC 1.25 utils OD Cannot be determined with the information provided

Suppose Jenny has 16 hours per day to allocate between work and leisure and she earns a wage rate of $25 per hour. If at the utlity-maximizing level of employment (1.e., MRSY w), Jenny's MUL is 20 utils, what is her MUy? O A 08 utils OB 500 utils OC 1.25 utils OD Cannot be determined with the information provided

Microeconomic Theory

12th Edition

ISBN:9781337517942

Author:NICHOLSON

Publisher:NICHOLSON

Chapter16: Labor Markets

Section: Chapter Questions

Problem 16.1P

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1.4 10c44 is the utility function of Fredvick 9 Sales executive at Barclays who maximizes uti lity by combining Leisure (L) with a maket basket of consumptive goods (c) 9 If tredrick does not earn any non -labair income(v estimate his labour supply function in temo of I,P and w. Where P= price, T = Total time wage rate. b) Calculate his reservation wage if T= 24 and P= I Calculate his oLon wage elasticity of labour supply equilibrium- in
Suppose Jenny has 16 hours per day to allocate between work and leisure and she earns a wage rate of $25 per hour. If at the utility-maximizing level of employment (i.e., MRSy; = w), Jenny's MUy is 20 utils, what is her MUl? O A. 1.25 utils O B. 0.8 utils O C. 500 utils O D. Cannot be determined with the information provided.
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