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Jeff Lebowski's preferences over bundles of leisure, , and goods consumption, , are described by the utility function ( , ) = 0 . 9
Jeff Lebowski's preferences over bundles of leisure, , and goods consumption, , are described by the utility function ( , ) = 0 . 9 0 . 1 , where represents hours of leisure per week and represents units of goods consumption per week. Jeff has a time endowment of = 1 0 0 hours per week, which he can divide between the mutually exclusive activities of leisure and work, , in whatever way he wishes. For each hour that he spends working, Jeff can earn a wage of = 1 5 dollars. In addition to any labor income that Jeff earns, he has weekly nonlabor income of = 1 0 0 dollars. Finally, the price of each unit of goods consumption is = 1 ( which means that goods consumption is measured in dollar units ) . What is Jeff's utility - maximizing value of weekly goods consumption, * *
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