8. (Labor Supply - Utility Max with Leisure/Consumption) Mr. Smith works in a factory. He can work as many hours per day a he wishes at a wage rate of w. Let C be the number of dollars he has to spend on consumer goods and let R be the number of hours of leisure that he chooses. a. Suppose Mr. Smith earns $8/hour and has 18 hours per day to devote to labor or leisure, and suppose that he has $15 of nonlabor income per day. Write his budget constraint for consumption and leisure. b. Draw his budget constraint IN RED INK for consumption and leisure on the graph below, and mark his endowment point "A". Let leisure be on the horizoan axis. c. If Mr. Smith's utility function is U(R,C} = RC, how many hours each day will he choose for leisure, and how many hours will he work? d. Suppose Mr. Smiths wage rate rose to $12 an hour. Use BLACK INK to draw his new budget line on the graph in part b. (He still has $16/day of non-labor income.)