Problem 3 Alan's utility function for consumption (C) and leisure time (1) is U(C,1) = 2C1/2...

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Problem 3 Alans utility function for consumption (C) and leisure time (1) is U(C,1) = 2C1/2 + 1. Each week, Alan has a time

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unit - per week. I utility function : Ucce)= 2 +l; work hours : Leisure hours id Price of consumption; pc =$1 ant wage = w ; - optimal leisure = low + A-w? w J ensure c) d= 120 +Ą, - so, desure decrease as wage increase So working hours increases as

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