Question
As the term “opportunity cost” is defined in the text, the opportunity cost of going to college includes
a. neither tuition nor the value of the student’s time, since obtaining a college degree makes one’s income higher in the future.
b. neither tuition nor the value of the student’s time, at least at subsidized state universities.
c. both tuition and the value of the student’s time.
d. tuition but not the value of the student’s time, which is a cash cost.
e. the value of the student’s time but not tuition, which is a monetary cost.
a. neither tuition nor the value of the student’s time, since obtaining a college degree makes one’s income higher in the future.
b. neither tuition nor the value of the student’s time, at least at subsidized state universities.
c. both tuition and the value of the student’s time.
d. tuition but not the value of the student’s time, which is a cash cost.
e. the value of the student’s time but not tuition, which is a monetary cost.
Ask by Chavez Park. in the United States
Mar 21,2025
Upstudy AI Solution
Tutor-Verified Answer
Answer
The opportunity cost of going to college includes both tuition and the value of the student’s time.
Solution
-
The opportunity cost of an activity is defined as the total value of the next best alternative that is forgone.
-
For going to college, this includes both the direct monetary expense (tuition) and the forgone earnings or other productive uses of the student’s time (implicit cost).
-
Thus, the correct answer is:
both tuition and the value of the student’s time.
Answered by UpStudy AI and reviewed by a Professional Tutor
Like
error msg
Explain 
Simplify this solution Mind Expander
The opportunity cost of going to college encompasses both the money spent on tuition and the potential income lost while attending classes instead of working. This means that students have to consider not only the direct financial expenses but also what they could have earned during that time. So, you see, college comes with a price tag that isn’t just measured in dollars!
In real life, understanding opportunity cost can help students make better decisions about education versus immediate employment. For example, a student might weigh the benefits of a degree against working full-time for a few years. By recognizing what they’re giving up—both in terms of immediate wages and educational investments—they can make a more informed choice that aligns with their long-term goals. It’s all about balancing that equation of time, effort, and future payoff!
