An individual's preferences for free time (t) and consumption (c) are described by a utility function of the form u(t, c) = v(t) + c. For which of the following specifications of v(t) would the additional satisfaction from an extra hour of free time be constant, regardless of how much free time the individual already has?
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An individual's preferences for free time (t) and consumption (c) are described by a utility function of the form u(t, c) = v(t) + c. For which of the following specifications of v(t) would the additional satisfaction from an extra hour of free time be constant, regardless of how much free time the individual already has?
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