Waiting for answer This question has not been answered yet. You can hire a professional tutor to get the answer.
QUESTION
For 3b, what would happen to the optimal consumer bundle if the real wage increases for U=lnC +bln(l).
For 3b, what would happen to the optimal consumer bundle if the real wage increases for U=lnC +bln(l). Also, how do you decompose the change of consumer bundle into income and substitution effects on a diagram. How would you change the answer if C=wNs +π, where π>0?
