If Someone Has a Cobb-Douglas Utility Function and No Income

question 42

True/False

If someone has a Cobb-Douglas utility function and no income from any source other than labor earnings, then an increase in wages will not change the amount that person chooses to work.

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Definitions:

Ethyl Propanoate

A compound formed by the esterification of propanoic acid and ethanol, known for its fruity odor.

Alcohol

An organic compound characterized by the presence of a hydroxyl group (-OH) attached to a carbon atom, widely used in industry and chemistry.

Predict

To declare or indicate in advance; especially : foretell on the basis of observation, experience, or scientific reason.

Following

In the context of a sequence or process, it refers to something that comes after or as a result of another thing.