Solution for the college affordability problem
Read the following article
and answer the following questions:
i) What was the implicit cost of going to college for Andrea Vick?
it) What was the explicit cost of going to college for Andrea Vick?
iti) One solution for the college affordability prablem mentioned in the article is students taking the
community college path. However, suppose going to community college means it will take one year longer
to get a Bachelors degree. Explain whether this truly makes it a more affordable option using the concept of
iv) The article takes about how wages for college graduates have only risen by 1% per year over the past
decade. Explain using the concept of opportunity cost why we also need to know how much wages for non-
college grads changed when assessing the value of a degree.
v) Do you feel that the majority of students are made fully aware of the opportunity cost of going to college
vi) Given that Tiger Woods was an Econ major at Stanford, on a full scholarship for golf, use the concept of
Opportunity cost to explain why he dropped out before graduating to be a professionat golfer even though
he was going to school for free.