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Answer on Microeconomics Question for shanu

Question #42455
State whether each of the following, with no other change, would increase or decrease the economic attractiveness of going to college, and give a brief explanation for each.
a. A decrease is estimated working life.
b. An increase in the earning of the average high school student.
c. Permanently higher interest rates in the economy.
Expert's answer
a. A decrease in estimated working life willdecrease the economic attractiveness of going to college, because there will be less time to work after graduating college.

b.An increase in the earning of the average high school student will increase the economic attractiveness of going to college, because students will have possibility to earn more during studying.

c.Permanently higher interest rates in the economy will decrease the economic attractiveness of going to college, because students will need pay more interest paying credit for education.

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