Short Answer

Evaluating a Claim on Work-Leisure Choices

An economic analyst makes the following claim: 'As wages increase, workers will always choose to have more hours of free time because they can afford it.' You are given the following data on the average daily choices of free time and consumption for workers in five countries, which are listed in order of increasing wages:

  • Mexico: 18 hours free time, $50 consumption
  • Turkey: 19 hours free time, $60 consumption
  • South Korea: 18.5 hours free time, $80 consumption
  • Netherlands: 20 hours free time, $120 consumption
  • United States: 19 hours free time, $155 consumption

Based strictly on this data, evaluate the analyst's claim. Is it correct? Explain your reasoning by citing a specific comparison between two countries from the list.

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Updated 2025-07-18

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