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Suppose a consumer works for hours a day out of , and out of hours are devoted to leisure. She earns a wage rate of

Suppose a consumer works for hours a day out of , and out of hours are devoted to leisure. She earns a wage rate of per hour and has non-labour income of . The consumer then spends all her income on food consumption, denoted by , which is priced at per unit. Her preferences over z and c are given by the utility function = .

Which of the following is true?

a. She always prefers to work some hours per day

. b. The number of hours that she works doesn't depend on .

c. Her consumption is at least 2

. d. All of the above.

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