Topic 6 : Opportunity Cost of a College Education

marginal analysis is the idea when consumer make decisions, they make decision of the next unit of something, analyzing the benefit and cost of the action and decision. The marginal costs  of one more year of higher education is one year of having fun and earn money outside. The marginal benefit of one more year of higher education is the the more money get in the future job. Yes, it might be true because companies want to find people who have better education and higher human capital. They leave school because they think that the marginal benefits exceed the marginal cost, and it means that leaving school and earn money is better than staying school and wasting money to get a higher education. This video doesn't effect me because my parents still force me to good to college and university. It did change a little bit of the view of college education but it doesn't effect that much because i know that companies want people who have higher education, and since my parents have the money to support me to college, then it's legitamate to go to college.