(Answered) Lindsay currently works as project director at the natural

Management Studies

Lindsay currently works as project director at the Natural Resources Defense Council earning $50 per hour of work. She likes her work and her utility over leisure (L) and consumption (Y) is U(L,Y)=(30L^.5)(Y^.5) so that her marginal utility of leisure is MUL=(15L^-.5)(Y^.5) and her marginal utility of consumption is MUY =(15L^.5)(Y^-.5)

a. What is Lindsay's budget constraint for consumption good (Y) and leisure (L)?

b. What is Lindsay's optimal level of work and consumption? Show your work.

c. If Lindsay's employer offered a bonus in the amount of $200, how would that affect her hours worked? Explain briefly, paying particular attention on whether there are substitution and income effects.

View complete question

Business Management, Management Studies

Category:- Business Management
Reference No.:- M92495898
Price:- $15

Verified Expert

Priced at $30 Now at $15, Verified Solution

Have any Question?Write your Review or question?

Related Questions in Business Management

What do you think about the response from the ceo of united

What do you think about the response from the CEO of United? The United Airlines statement reads: "Flight 3411 from Chicago to Louisville was overbooked. After our team looked for volunteers, one customer refused to leav ...

Suppose that the demand curve for a businesses is givenby p

Suppose that the demand curve for a businesses is given by P= 10000-4Q^3 and supply is P= 2000 + 4Q^3 a. Find the equilibrium price and quantity b. Calculate consumer surplus at the equilibrium price c. Calculate produce ...

1 blurred boundaries -- as organizations become more

1. Blurred boundaries -- As organizations become more laterally structured, boundaries begin to breakdown as different parts of the organization need to work more effectively together. Boundaries between departments as w ...

What is the strategy of break talk are they succeeding or

What is the strategy of Break Talk? Are they succeeding or failing? Why?

Compare and contrast the effectiveness of the response to

Compare and contrast the effectiveness of the response to the September 11, 2001 terrorist attacks on New York and the Pentagon. What factors do you feel led to such a difference in the response effectiveness? Please be ...

Evaluate the relationship between supply chain management

Evaluate the relationship between supply chain management and global sourcing. Provide an example of each.

What are the benefits of deciding to have a centrally

What are the benefits of deciding to have a centrally located facility instead of several smaller facilities? and who are the once involved in this decision? How technology can be involved in providing an optimal decisio ...

When applying industry analysis and organizational

When applying industry analysis and organizational structure determine when past industry performance is a good indicator of future profitability and when is it not a good indicator? and why, please explain the logic so ...

Learning outcomes1 evaluate the differing management styles

Learning outcomes: 1. Evaluate the differing management styles and levels of management decision making within an organisation. 2. Critically analyse the strategic role and impact of management within an organisation. 3. ...

Communication planthis communication plan will be a roadmap

Communication Plan This communication plan will be a roadmap on how the new division will best be able to communicate with Biotech's corporate headquarters, suppliers, other divisions, and internally. This should lay out ...

4,153,160 Questions Asked
13,132 Experts
2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Recent Questions

Ask Business Management Expert