What is your reservation wage

Assignment Help Microeconomics
Reference no: EM133246016

Suppose your utility function over consumption and leisure is given by U = CL2. This means your marginal utility of consumption is L2, and your marginal utility of leisure is 2CL.

There are 720 hours in the month that you must divide between labor and leisure. Your hourly wage rate is $24, and you have $200 of non-labor income per month.

What is your reservation wage?

Reference no: EM133246016

Questions Cloud

Economic openness without government regulation of any kind : Should the South African government increase its economic openness without government regulation of any kind?
Assuming that power plant operates at full capacity : Calculate the costs to generate one MWh, expressed in USD/MWh, assuming that the power plant operates at full capacity
Categories of services were most affected by pandemic : Which three categories of services were most affected by the pandemic, and what are the changes in prices in these categories over the past few months?
Compute per capita income in ethiopia : Compute per capita income in Ethiopia for the year 2050 assuming average annual growth is.
What is your reservation wage : Suppose your utility function over consumption and leisure is given by U = CL2. What is your reservation wage?
Discuss the transmission mechanisms : Discuss the five transmission mechanisms of the key market (country) and how it affects the company's profitability.
Increase in price of liquid detergent : If consumers switch to buying more powdered detergent in response to an increase in the price of liquid detergent does this mean
Display the trackid and track name : Display the trackid, the track name, the composer, the genreid, and the genre name for each track.
Create block containing variable : Challenge 2-2 create a block containing a variable that can hold a y or an n to indicate whether a newsletter should be mailed

Reviews

Write a Review

Microeconomics Questions & Answers

  The free rider problem

Question: Explain why the free rider problem makes it difficult for perfectly competitive markets to provide the Pareto efficient level of a public good.

  Failure of the super committee is good thing for economy

Some commentators have argued that the failure of the “Super committee” is good thing for the economy?  Do you agree?

  Case study analysis about optimum resource allocation

Case study analysis about optimum resource allocation: -  Why might you suspect (even without evidence) that the economy might not be able to produce all the schools and clinics the Ministers want? What constraints are there on an economy's productio..

  Fixed cost and vairiable cost

Questions:  :   Which of the following are likely to be fixed costs and which variable costs for a chocolate factory over the course of a month?  Explain your choice.

  Problem - total cost, average cost, marginal cost

Problem - Total Cost, Average Cost, Marginal Cost: -  Complete the following table of costs for a firm.  (Note: enter the figures in the  MC   column  between  outputs of  0 and 1, 1 and 2, 2 and 3, etc.)

  Oligopoly and demand curve problem

Problem based on Oligopoly and demand curve,  Draw and explain the demand curve facing each firm, and given this demand curve, does this mean that firms in the jeans industry do or do not compete against one another?

  Impact of external costs on resource allocation

Explain the impact of external costs and external benefits on resource allocation;  Why are public goods not produced in sufficient quantities by private markets?  Which of the following are examples of public goods (or services)? Delete the incorrec..

  Shifts in demand and movements along the demand curve

Describe the differences between shifts in demand and movements along the demand curve. What are the main factors which can shift the demand curve? Explain why they cause the demand curve to shift. Use examples and draw graphs to support your discuss..

  Article review question

Article Review Question: Read the following excerpts from the article "Fruit, veg costs surge' by Todd, Dagwell, published in the Herald on January 25th 2011 and answer questions below:

  Long-term growth, international trade & globalization

Long-term Growth, International Trade & Globalization:- This question deals with concepts such as long-term growth, international trade and globalization. Questions related to trade deficit, trade surplus, gains from trade, an international trade sce..

  European monetary union (emu) in crisis

"Does the economic bailout of Spain and Greece spell the beginning of the end for the European Monetary Union (EMU)?"

  Development game “settlers of catan”

Read the rules of the game, the overview and the almanac for the Development Game "Settlers of Catan"

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd