The household budget constraint may have a kink because
A) there is uncertainty.
B) households prefer diversity.
C) households may substitute consumption for leisure, or the reverse.
D) leisure is limited by the number of available hours.

Question

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The Answer of The household budget constraint may have a kink because
A) there is uncertainty.
B) households prefer diversity.
C) households may substitute consumption for leisure, or the reverse.
D) leisure is limited by the number of available hours.

The Household Budget Constraint May Have a Kink Because