Dr J Has 80 Hours Per Week to Divide Between

question 13

Multiple Choice

Dr. J has 80 hours per week to divide between work and leisure. His wage rate if $5 per hour. Dr. J receives a lump sum payment of $100 per week. Suppose that the first $50 per week of his labor income is untaxed, but all labor income above $50 is taxed at a rate of 70%.

• A) Dr. J's budget line has a kink in it at the point where he takes 80 units of leisure.
• B) Dr. J's budget line has a kink where his income is $150 and his leisure is 70 hours.
• C) The slope of Dr. J's budget line is everywhere -1.50.
• D) Dr. J's budget line has no kinks in the part of it that corresponds to a positive labor supply.
• E) Dr. J's budget line has a piece that is a horizontal straight line.

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Definitions:

Plasma Membrane

The plasma membrane is the biological membrane that separates the interior of all cells from the outside environment, controlling the movement of substances in and out of cells.

Symporter

is a type of transporter protein that moves two or more ions or molecules in the same direction across a cell membrane.

Plasma Membrane

The lipid bilayer membrane surrounding a cell, controlling the passage of substances in and out of the cell.

ATP-Powered Pumps

Membrane proteins that use the energy from ATP hydrolysis to transport ions or molecules across cell membranes against their concentration gradients.