With no government involvement in college education, how many students enroll, what is the tuition, and what

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With no government involvement in college education, how many students enroll, what is the tuition, and what is the deadweight loss created?

The marginal cost of educating a college student is $5,000 a year. Table 3 shows the marginal benefit schedule from a college education. The marginal external benefit from a college education is a constant $2,000 per student per year. There are no public colleges.

TABLE 3 Students (millions per year) 12345678 5 Marginal benefit (dollars per student per year) 5,000 3,000

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Foundations Of Economics

ISBN: 9780134486819

8th Edition

Authors: Robin Bade, Michael Parkin

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