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Just curious... how is your computer workspace arranged?

I have my computer desk organized like photo #1 below, where the graphics tablet is right in front of me and mostly centered with the monitor. Even though I sometimes feel cramped with my elbow tucked into my ribs, this still seems like the most natural position for the graphics tablet. But then I noticed in a Phlearn tutorial that he (Aaron Nace) has his graphics tablet off to the right, similar to photo #2. So now I'm curious what all of you do. Is your desk organized like #1 or #2?