Bart simpson spends his day either skateboarding

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Bart Simpson spends his day either skateboarding (leisure) or babysitting his sister Maggie (work), for which his mom (Marge) pays him an hourly wage of w. Marge has decided to increase Bart's hourly wage. For each of the following cases, determine what happens to the number of hours that Bart spends babysitting his sister. Interpret your results graphically using the income and substitution e?ect.

1. Leisure is an inferior good.

2. Leisure is a normal good.

Reference no: EM13875808

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