=+b. For certain types of tastes (as for those used in part B of this question), the
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=+b. For certain types of tastes (as for those used in part B of this question), the optimal labor decision does not vary with the wage or the interest rate in this problem. Suppose this implies that taking ,
*
in leisure is always optimal for this worker. Illustrate how this puts the worker’s decision on a slice of the three-dimensional budget you graphed in part (a).
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Microeconomics An Intuitive Approach With Calculus
ISBN: 9781337335652,9781337027632
2nd Edition
Authors: Thomas Nechyba
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