The figure given below shows the income-leisure trade off of an individual. Figure 15.6 AB and AC: Income constraints of the individual
I₁, I₂, and I₃ curves show the income leisure choices of the individual.
In Figure 15.6, if the income constraint of the individual is given by the line AB, he maximizes his utility by choosing _____ hours of leisure and earns an income of _____.

Question

The figure given below shows the income-leisure trade off of an individual. Figure 15.6

AB and AC: Income constraints of the individual
I₁, I₂, and I₃ curves show the income leisure choices of the individual.
In Figure 15.6, if the income constraint of the individual is given by the line AB, he maximizes his utility by choosing _____ hours of leisure and earns an income of _____.

Quizplus · Accepted Answer

The Answer of The figure given below shows the income-leisure trade off of an individual. Figure 15.6 AB and AC: Income constraints of the individual I₁, I₂, and I₃ curves show the income leisure choices of the individual. In Figure 15.6, if the income constraint of the individual is given by the line AB, he maximizes his utility by choosing _____ hours of leisure and earns an income of _____.

The Figure Given Below Shows the Income-Leisure Trade Off of an Individual