Well, it might show his journey towards becoming more human. Reading a story is a very human - like activity. It could also mean that he is starting to understand the power of words and narratives, which is important for his development both morally and intellectually. For example, through stories, he can learn about right and wrong, and different ways of thinking.
It's possible that he is reading a fantasy story. Given that Pinocchio himself is a rather fantastical character, a story filled with magic, strange creatures, and otherworldly places would likely appeal to him. It would be like he is entering another world similar to his own, but with different rules and adventures. This type of story could also fuel his own imagination and give him new ideas about his own existence.
In certain renditions of the original Pinocchio story, he does die. This could be as a result of various challenges and mistakes he makes along his journey, serving as a moral lesson.
No. Pinocchio is a fictional character from a children's story. It was created by Carlo Collodi. It has elements of fantasy like a wooden puppet coming to life, which doesn't happen in real life.
Definitely not. Pinocchio is a work of fiction. It comes from the creativity of the writer and exists only in the realm of imagination and storytelling.