Multiple Choice
Use the following to answer questions :
Figure: Rita's Time Allocation Budget Line
-(Figure: Rita's Time Allocation Budget Line) Look at the figure Rita's Time Allocation Budget Line.It is based on 80 hours available for labour and leisure.Rita chooses 40 hours of leisure and an income of $280.When her hourly wage doubles,Rita chooses 50 hours of leisure and an income of $420.The substitution effect is making her work _____,the income effect is making her work _____,and the substitution effect is _____ than the income effect.
A) more;less;stronger
B) less;more;stronger
C) more;less;weaker
D) less;more;weaker
Correct Answer:

Verified
Correct Answer:
Verified
Q2: Dorothy is trying to decide how to
Q3: Javon has 80 hours per week to
Q4: While individual labour supply curves may bend
Q6: Use the following to answer questions :<br>Figure:
Q8: Assume that Alex is maximizing utility by
Q10: Use the following to answer questions :<br>Figure:
Q11: Use the following to answer questions :<br>Figure:
Q12: Javon has 80 hours per week to
Q144: To maximize utility, an individual should allocate
Q249: Use the following to answer questions:<br>Figure: Joanna's