The opportunity cost of going to college is?
Question:
a. the total spent on food, clothing, books, transportation, tuition, lodging, and other expenses.
b. the value of the best opportunity a student gives up to attend college.
c. zero for students who are fortunate enough to have all of their college expenses paid by someone else.
d. zero, since a college education will allow a student to earn a larger income after graduation.
Answer:
B
This is a poor question, people would naturally guess B (because the word opportunity is in both the question and answer) and they'd be correct.
I think the answer would be B. because opportunity cost would mean that you give up somthing to attend college. Now if you give up somthing that would be the value of the best opportunity... so B make more sense to me as an asnwer... Good Luck
I don't think any of those answers are correct.
A - should include any interest costs as a specific item
B - should be combined with/compared to A
C - isn't true/incomplete
D - isn't true/incomplete
Depending on the career field, many people do not see an actual financial benefit from college until they are in their 30's to 50's, but then the curve goes up pretty steeply for a while for the degreed individuals.
The correct answer is a+b-d, where:
a=real costs listed, plus entertainment and misc expenses
b=potential wages surrendered, the "opportunity cost"
d=lifetime gain in actual earnings. The increase over earnings gained otherwise. ALSO add to that, financial pitfalls a more educated person is likely to avoid in everyday life. This is impossible to calculate.
For most people, the total over time should be negative (that is negative cost, or a net profit, often very substantial).
For greatest benefit, I suggest you study sciences, environmental sciences such as meteorology...
http://www.stuffintheair.com/career-in-m...
...for instance.
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