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Question: If we plot Michelle's GPA as a function of her leisure time, we see that her GPA ?rst rises with leisure (taking some time o? improves her performance) but eventually decreases with leisure.
1. Plot the relationship between leisure and GPA on a graph. (Hint: Assume that the general shape is that of an inverted parabola.) Michelle has standard, convex preferences over leisure and class GPA. That is, her indi?erence map over leisure and GPA is comprised of indi?erence curves that are convex to the origin.
2. Use your graph to determine whether Michelle would choose the amount of leisure that maxi-mizes her GPA. Comment.
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