(Solved): 1. Working with Numbers and Graphs Q1 Suppose the marginal costs of reading are constant at \( \$ 1 ...

1. Working with Numbers and Graphs Q1 Suppose the marginal costs of reading are constant at \( \$ 15 \) per hour, while the marginal henefits of reading decline (over time) as mom reading is performed. In particulay, suppose the following table contains the marginal benefit associated with various levels of hours spent reading. Assume the marginal-beneft curve is a straight line through the two paints described in the table. reading (that is, the point at which the net benefirs of reading are masimised). On the following graph, use the blue points (circle symbor) to plot the marginaf-benefit cunve for raading. Next, use the orange point (square symbol) to piot the marginal-cost curve for reading. Finally, use the black point (plis symbol) to indicate the point corresponding to the eficient annount of reading (that is, the point at which the net benefits of reading are maximizan. Beadied are than the marginai coste of resting, and therefori, 7ou can mcrease net benefts by reedng for hours on the ine marsmal core curvi. Thie means that the marginel benefite of wating are than the rrarginal costs of reading, and therefore. You con norease net owefer by reading howirs. Oniy at the efficiens point, whern marainal tenthits are the marginal cocts of ceafing are net thenefte