Economics of Macro Issues 7th Edition by Roger LeRoy Miller,Daniel Benjamin

Exercise 2

Referring back to the previous question, suppose that each of these people is paid the same before-tax hourly wage, but they work 500 hours per year, 1,500 hours per year, and 2,500 hours per year, respectively. Calculate the after-tax hourly wage that each is earning. Comparing these people, who would you say likes leisure the most (compared to work)? Who likes leisure least compared to work?