True or False: You live for two periods, and you choose consumption and labour supply in each period to maximize lifetime utility. If your wage in the first period falls, you will certainly work less in the first period, but the effect on labour supply in the second period is ambiguous.Explain.

True or False: The Earned Income Tax Credit (EITC) is expected to increase labour supply onboththe extensive margin and intensive margin.Explain.

True or False: If capital is supplied more elastically, this tends to increase the elasticity of demand for labour.Explain.

True or False: It is difficult to measure the causal effect of children on women's labor supply because children are normal goods.Explain