Does the fact a taxi driver works nine hours a day mean he has a reference level
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Does the fact a taxi driver works nine hours a day mean he has a reference level of hours he wants to work? [Hint: it could be that his utility function just becomes steep at nine hours. A reference level of hours worked should be determined by some exogenous factor such as how many hours his friends work. But, is it always possible to distinguish exogenous factors from his preferences?]
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