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Two individuals, Blair and Anton, derive utility from leisure and from the other goods (OG)they consume. Observing their leisure and OG choices when wage increases,

Two individuals, Blair and Anton, derive utility from leisure and from the other goods (OG)they consume. Observing their leisure and OG choices when wage increases, we conclude thatBlairhas backward-bending labour supply andAntonhas upward slopping labour supply. Therefore,

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a) Leisure is a normal good for Anton but an inferior good for Blair.

b) Anton has only an income effect, while Blair has only a substitution effect.

c) Anton's income effect is larger than Blair's income effect, but Anton's substitution effect is smaller than Blair's substitution effect.

d) Anton's substitution effect is larger than his income effect, but Blair's income effect is larger than her substitution effect.

e) Anton's income and substitution effects are negative while Blair's income and substitution effects are positive.

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