Question: Part III (20 points) Assume that Mr. M doesn't like reading books much. but he does read them a little. a. Mr. M's aunt gives

 Part III (20 points) Assume that Mr. M doesn't like reading

Part III (20 points) Assume that Mr. M doesn't like reading books much. but he does read them a little. a. Mr. M's aunt gives him a gift certificate that can be used at a store that only sells books. Using a graph, show his optimal consumption point and his level of happiness before and after he receives the gift certificate. (8 points). b. On the same graph, show his optimal consumption point and his level of happiness if he had been given cash instead. (8 points). C. Briefly explain what conclusion can be made from your graph. (4 points.)

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