macro 03 -3c

2007-04-15 4:54 am
if a person decides to spend the time on entertainment , will the utility gain from leisure be sufficient to compensation the utility loss from income /consumption to raise his private welfare ?how will it affect social welfare?

回答 (1)

2007-04-15 5:06 am
✔ 最佳答案
utility---preference

1st preference is work
2rd preference is leisure

arbirary assignment of number:
utility of work: 50
utility of leisure: 40

utility level decrease.

social welfare worsen off


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