6 8. Describe what is depicted. Describe why it is important to labor economics. (5 points) FIGURE 1.-TOTAL RETURNS TO COMPLETED YEARS OF EDUCATION FOR WHITE MEN 1.5 T 1.4 - - Without Diploma Effects With Diploma Effects Log Points (0 Years = 0) 1.3 10 11 12 13 14 15 16 17 18 Completed Years of Education 9. (8 points total) a. Draw a neat and clear diagram and show the decomposition of total effect into substitution and income effects for a fall in wages when leisure is an inferior good (with leisure on the horizontal axis and consumption on the vertical axis). (6 points) b. Does the income effect raise, or lower leisure hours? (2 points)