Question

A maximizing worker is paid a wage of 10 dollars per hour and a non-labour salary...

A maximizing worker is paid a wage of 10 dollars per hour and a non-labour salary of 160 dollars per day. She has preferences for leisure and food defined by u(z, f) = z1/2f1/2. How many hours will she work?

Homework Answers

Answer #1


Please ask your query if any query in comment.

PLEASE RATE THUMBS UP ??

THANKYOU

Please don't dislike the answer, feel free to ask your query if any in comment.

Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
A maximizing worker with u(z, f) = z1/2f1/2 earns 60 dollars per day in non-labour income...
A maximizing worker with u(z, f) = z1/2f1/2 earns 60 dollars per day in non-labour income and is paid a wage of 5 dollars per hour. How many hours will she work. If she joins a union she will be paid a wage of 20 dollars per hour but she will have to pay a membership fee. What is the maximum daily fee she would pay to join this union?
A maximizing worker with u(z, f) = z1/2f1/2 earns 60 dollars per day in non-labour income...
A maximizing worker with u(z, f) = z1/2f1/2 earns 60 dollars per day in non-labour income and is paid a wage of 5 dollars per hour. How many hours will she work. If she joins a union she will be paid a wage of 20 dollars per hour but she will have to pay a membership fee. What is the maximum daily fee she would pay to join this union?
A maximizing worker has preferences u(z, f) = z1/2f1/2. She has been offered a job paying...
A maximizing worker has preferences u(z, f) = z1/2f1/2. She has been offered a job paying a wage of 5 dollars an hour. Her parents are concerned that she will over work, after all she is only 15. They plan to reduce her non-labour income (allowance) to a level where she will work only 4 hours per day. What is the appropriate level to allowance to achieve this goal.
Julie employs Katrina as her assistant. Katrina is a utility maximizing worker with u(z, f) =...
Julie employs Katrina as her assistant. Katrina is a utility maximizing worker with u(z, f) = z1/2f1/2 and MRS = f/z. Katrina has non-labour income 40 and allocates 24 hours per day between labour h and leisure z. Julie pays Katrina a wage of 5 dollar per hour. Provide an Indifference Curve and Budget Line Diagram to illustrate and quantify, hours of leisure, hours of work and consumption. Katrina is over working. What hourly wage would make Katrina voluntarily cut...
Assume the gross wage of w=$10 per hour and gross non-wage income YN = $5000 per...
Assume the gross wage of w=$10 per hour and gross non-wage income YN = $5000 per year. Assume a maximum of 6,000 hours of leisure per year (T= 6000 per year ), so that full income for the worker is $65,000. Draw the budget constraint under each of the following taxes and transfer schemes. 1. A welfare program that pays $8,000 per year if the person does not work and reduces the welfare benefit dollar for dollar with earnings (100%...
Wage rate is $10 per hour for a consumer, and he is choosing earning of $10...
Wage rate is $10 per hour for a consumer, and he is choosing earning of $10 per hour and taking leisure of 1 hour together. a.    Derive the mathematical equation and draw the corresponding graph for daily income-leisure constraint. b.    Draw the corresponding indifference curve between earning and leisure. c.     How many hours will this consumer work and how much will this consumer earn?
Sarah has the following utility function and has a market wage of $10 per hour, and...
Sarah has the following utility function and has a market wage of $10 per hour, and can work upto 2000 hours per year. U = 100* lnC + 175* lnL ; Where C is the consumption and L is the leisure A) Determine the utility maximizing levels of C and L for Sarah. Also, determine the corresponding maximum level of utility of Sarah. Now assume that she is subject to a TANF program that features a benefit guarantee of $5000...
Lisa can gain 6 dollars per hour if she goes to work. She has 16 hours...
Lisa can gain 6 dollars per hour if she goes to work. She has 16 hours of time in a day which can be spent as leisure or labor. If she decides to go to work, she has to get on to the Ferry which will cost her 8 dollars per day. Lisa can gain 20 dollars as non-labor income daily What is the graphic of Lisa’s consumption-leisure budget constraint for a day(draw budget set). b. If Lisa is not...
Adam has a utility function U(C,R) = CR, where R is leisure and C is consumption...
Adam has a utility function U(C,R) = CR, where R is leisure and C is consumption per day. He has 16 hours per day to divide between work and leisure. Mark has a non-labor income of $48 per day. (a) If Mark is paid a wage of $6 per hour, how many hours of leisure will he choose per day? (b) As a result of a promotion, Mark is now paid $ 8 per hour. How will his leisure time...
Suppose that the consumer’s preferences are given by U(c,l)=2c ^(1/2) +2l ^(1/2) where c is the...
Suppose that the consumer’s preferences are given by U(c,l)=2c ^(1/2) +2l ^(1/2) where c is the level of consumption and l is leisure. The consumer has to allocate 50 hours between leisure and labour. The real wage rate is 10 per hour and the real non-wage income is 160. Assume that there is no government. Note that (∂c ^(1/2)) / (∂c) = (1/2) c^(-1/2) (a) Write the budget constraint of the household. (b) Solve for the tangency condition using the...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT