Question

1. You have made the decision to pursue higher education. Describe the economist’s view of how...

1. You have made the decision to pursue higher education. Describe the economist’s view of how a decision like that is made. Using marginal analysis, make sure you evaluate the “rationality” of the decision and explain why the following statement is irrational: "Higher education is priceless, so everyone should pursue a degree no matter the cost.

Business   Economics   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

An economist would conduct a marginal analysis before making a decision. In the marginal analysis, the marginal benefit is compared with the marginal cost. A decision is taken as long as the marginal benefit is higher than or equal to the marginal cost. In education also, a rational person would compare the marginal cost of getting a degree with the marginal benefits. A degree should be pursued as long as the marginal benefits are higher than the marginal costs.

Educational degrees are not priceless as there is an opportunity cost involved. We could use the time to do other productive work. Therefore, it is rational to compare the marginal benefits of a degree with marginal costs.

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Topic Have you ever blown across the top of a bottle and made a sound? If...
Topic Have you ever blown across the top of a bottle and made a sound? If so, did you wonder how that sound was actually created? A bottle can be considered a type of air column. For this discussion, first find two empty bottles of different shapes or sizes. You will use these to try to make your own music. In your initial discussion post, address the following: Of the two bottles, which creates the higher note? Explain why that...
1)You have a friend who claims that because Microsoft has a higher standard deviation than Exxon,...
1)You have a friend who claims that because Microsoft has a higher standard deviation than Exxon, it must have a higher cost of equity as well. Briefly explain why this is an incorrect statement. 2)You are currently looking for a new stock in which to invest. Through a friend of a friend, you hear that Evaporite Systems Inc. has just successfully completed testing on a new system to eliminate wastewater which will make all other systems obsolete, and have partnered...
Rosa Lee and Scott Bradshaw are facing an important decision. After having discussed different financial scenarios...
Rosa Lee and Scott Bradshaw are facing an important decision. After having discussed different financial scenarios into the wee hours of the morning, the two computer engineers felt it was time to finalize their cash flow projections and move to the next stage – decide which of two possible projects they should undertake. Both had a bachelor degree in engineering and had put in several years as maintenance engineers in a large chip manufacturing company. About six months ago, they...
1. When should the government intervene in society? Once we have chosen the path of intervention...
1. When should the government intervene in society? Once we have chosen the path of intervention what options/factors need to be considered? How have opinions evolved over time? How might interventions differ between various levels of government (local/state/federal)? 2. People often call America the “Land of the Free”. Describe, with the theoretical tools we have discussed, how our market-based system contributes to that moniker. People have also contended that America is a country where some are systematically disadvantaged. Why might...
The author describes the story of the New York Police Commissioner Bill Bratton and how he made his top management understand the problems faced by the subway users.
As a manager, you may have the power to change your organization’s policies with the stroke of a pen. And you may have the ability to hire, fire, promote and demote people with relatively little effort.But changing an entrenched culture is the toughest task you will face. To do so, you must win the hearts and minds of the people you work with, and that takes both cunning and persuasion.In their book “Blue Ocean Strategy,” W. Chan Kim and Renee...
1-How important do you believe it is to be task-oriented and relationship-orientated? How would you describe...
1-How important do you believe it is to be task-oriented and relationship-orientated? How would you describe Musk? 2-Why do you think Musk is successful in overcoming obstacles and handling conflict? How do you overcome obstacles in influencing individuals in your life? 3-Besides the personality traits given in chapter 2, what other traits attribute to a great leader? Recognizing Your Traits The definition of intelligence is the ability to acquire and apply knowledge and skills. Elon Musk knew little about rockets...
Cooperative Education--Discussion Question #1--Spring, 2018 COLLAPSE SPECIAL NOTE: You will have two weeks, instead of one,...
Cooperative Education--Discussion Question #1--Spring, 2018 COLLAPSE SPECIAL NOTE: You will have two weeks, instead of one, to complete this particular discussion question. This discussion question assignment can earn you 105 huge points, depending on the quality and timeliness of your comments and how well you follow the instructions for this assignment. Within the two weeks time period you should answer my specific discussion question (all parts of it) AND also respond to at least two other students’ comments. This will...
As a manager, you may have the power to change your organization’s policies with the stroke...
As a manager, you may have the power to change your organization’s policies with the stroke of a pen. And you may have the ability to hire, fire, promote and demote people with relatively little effort. But changing an entrenched culture is the toughest task you will face. To do so, you must win the hearts and minds of the people you work with, and that takes both cunning and persuasion. In their book “Blue Ocean Strategy,” W. Chan Kim...
Activity 1: Scientific Reports You may have heard the question “If a tree falls in a...
Activity 1: Scientific Reports You may have heard the question “If a tree falls in a forest and no one is around to hear it, does it make a sound?” A similar question can be asked about experiments. “If a researcher performs an experiment and never publishes the result has science been performed?” Many people would say no because science is the accumulation of knowledge. If the results of an experiment are not published, knowledge is not gained. The final...
Instructions: The assignment is based on the mini case below. The instructions relating to the assignment...
Instructions: The assignment is based on the mini case below. The instructions relating to the assignment are at the end of the case. The Case Mike Chang and Joan Brown are facing an important decision. After having discussed different financial scenarios into the wee hours of the morning, the two computer engineers felt it was time to finalize their cash flow projections and move to the next stage – decide which of two possible projects they should undertake. Both had...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT