Topic 6: Opportunity Cost of a College Education

            Marginal analysis means thinking about the costs and benefits of the next unit of something. This can be use to make good decision by comparing the cost and the benefits for the next unit of something.

            The marginal costs of one more year of education will be the tuition of the college, which is super expensive. According to the video, the college tuition have increase almost 4 times as the old days. The marginal benefit of one more year of college school is that you might be able to receive new knowledge throughout the year. People might have different opinion, but in my opinion, the marginal benefit will not exceed the marginal cost. In a whole school year, if people can find a normal job, maybe they can’t get more knowledge but they can earn money and stay a good life for now. Besides, is the one-year additional knowledge really useful for people in the future?

            Some of the politician says that the people who attend college will earn one million more in their working, but according to the video this is not accurate. The reason why they got this data is because the sample had included the people who are really rich. They had totally screwed up the statistics. Therefore even we have this result,  it still can’t prove that attending college can lead you to earn more money.