Bruce is a student at UW-Madison with an exam coming up in two weeks and he's trying to figure out how much he should study and how much he should party each week. He gets utility directly from partying, but he also gets utility from his test score, which increases as he studies more. Bruce is susceptible to peer pressure, so his utility also depends on how much his friends are partying. His utility function is: U = log(P - PF) + log(P- PF) + log(T) There are 40 total hours in each week, and his test score will be equal to square of the total number of hours studied. So P + St < 40 Vt e {1,2} T = (S1 + S2)? %3D

Bruce is a student at UW-Madison with an exam coming up in two weeks and he's trying to figure out how much he should study and how much he should party each week. He gets utility directly from partying, but he also gets utility from his test score, which increases as he studies more. Bruce is susceptible to peer pressure, so his utility also depends on how much his friends are partying. His utility function is: U = log(P - PF) + log(P- PF) + log(T) There are 40 total hours in each week, and his test score will be equal to square of the total number of hours studied. So P + St < 40 Vt e {1,2} T = (S1 + S2)? %3D

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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