Let tomrsquos utility function be ucl 3times if tom has


Let Tom’s utility function be U(C,L) = ??! + 3×??! . If Tom has 10 hours to split between work and leisure and his wage rate is $5 per hour, what would be his optimal allocation? Hint: Note that this utility function has indifference curves strictly concave to origin so optimality rule that we have seen in class is no longer valid in this case. Drawing budget line and indifference curves may help to solve the question

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Microeconomics: Let tomrsquos utility function be ucl 3times if tom has
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