Suppose an individual will have $300 if they choose not to work, but they may work up to 17 hours. Let marginal utility from leisure be given by 0.6*(c/)0.4and marginal utility from consumption be given by 0.4(/c)0.6.

This worker's reservation wage is $ (enter).

If the competitive wage is above $(enter), a union raising wages will not affect this individual's participation decision.

When offered wage $27, this worker(Enter 1 for "will", -1 for "will not")choose to work.