Describe each part of your model and the outcome carefully

Assignment Help Microeconomics

Reference no: EM13238233

Consider a person who has to decide how spend their weekend. The person would like to `consume' leisure, but would also like to consume goods over the weekend, which would require them to work.
They have access to a job that pays by the hour and where they can choose to work as many hours as they wish. They are paid the same irrespective of whether they work on Saturday of Sunday.
Unfortunately, they also have a homework assignment to complete over the weekend, which will take them exactly four hours in total and must be done. Completing homework has no eect on the person's well-being.

Assuming that are regarded as the same thing irrespective of whether they occur on Saturday or Sunday, set out the maximization problem and derive the rst order conditions for an optimal solution. Describe each part of your model and the outcome carefully. You may assume that there is only a single consumption good with a price of $1.

Reference no: EM13238233

Questions Cloud

What would cause the entire curve to move upward : You manage Gofer Delivery Services. You rent a truck for $50 a day and each delivery takes an hour of labor time. The hourly wage is $8. Draw a curve showing the relationship between the number of deliveries on the horizontal axis.

Compute as the molarity of the cro2- solution : A titration experiment is set up to use 0.235M bleach (NaOCl) to analyze CrO2-. If 50.0mL of the CrO2-(aq) solution required 37.75mL of bleach to react to completion, what would you calculate as the molarity of the CrO2- solution

Find out the concentration of the hcl solution : Titration of 25.00 mL of HCl requires 15.62 mL of 0.250 M Ba(OH)2. Determine the concentration of the HCl solution

What is the monopolists profit-maximizing level of output : What is the monopolist's profit-maximizing level of output, profit-maximizing price, maximized profit, the value of consumer surplus if the market were perfectly competitive, and the deadweight loss when the market is a monopoly

Describe each part of your model and the outcome carefully : Assuming that are regarded as the same thing irrespective of whether they occur on Saturday or Sunday, set out the maximization problem and derive the rst order conditions for an optimal solution.

What is the maximum charge on the dome : Lightning can be studied with a Van de Graaff generator, which consists of a spherical dome on which charge is continuously deposited by a moving belt, What is the maximum charge on the dome

Define what is the partial pressure of argon : A 1-L flask is filled with 1.20g of argon at 25C . A sample of ethane vapor is added to the same flask until the total pressure is 1.15 atm. A) What is the partial pressure of argon, P Ar , in the flask

Explain an aqueous solution contains a mixture of cl- : An aqueous solution contains a mixture of Cl- and I-. A buret is used to slowly add a solution of Ag+. Will AgCl or AgBr precipitate first

What is the interest rate you would pay by financing : Some laboratory equipment sells for $75000. The manufacturer offers financing at 8% with annual payments for 4 years for up to $50,000 of the cost. The salesman is willing to cut the price buy 10% if you pay cash.

User Account

All Pages