In this chapter, we showed an example in which the consumer has preferences for con- sumption with the perfect complements property. Suppose, alternatively, that leisure and consump- tion goods are perfect substitutes. In this case, an indifference curve is described by the equation i = al + bC, where a and b are positive constants, and u is the level of utility. That is, a given indifference curve has a particular value for u, with higher indiffer- ence curves having higher values for u. (a) Show what the consumer’s indifference curves look like when consumption and lei- sure are perfect substitutes, and determine graphically and algebraically what consump- tion bundle the consumer chooses. Show that the consumption bundle the consumer chooses depends on the relationship between a/b and w, and explain why. (b) Do you think it likely that any consumer would treat consumption goods and leisure as perfect substitutes? answers