Question

How would you evaluate the cost and benefit of college education in economic terms? What explains the rising demand for college education? Under the current unique circumstance of COVID-19, what do you see or expect to see the change in the demand for college education?

Answer 1

The demand for a college education is rising rapidly after the globalization and competition in the market. While going to college, the explicit and implicit costs are incurred by the student. The implicit cost here is opportunity cost. Students can take up any job instead of going to college. The further student has to pay the fee and other explicit expenses.

Benefits come in terms of increased salary and ample chances of being selected for jobs. Usually, the workers with a college degree are likely to end up with higher salaries, and even during the economic crisis, the skilled worker's job security is high. Going to college is beneficial if the worker is able to get the higher salary than the workers without a college degree.

The requirement of skills and well-trained labor in the market has led to the rise in the demand for college degree holders.

The COVID-19 has further made the skills requirements more urgent. the freelancing and gig economy is on the rise. thus, an individual can not work without having the right type of skill. Thus online education and programme would be on high demand. Now universities and colleges are likely to offer the online courses in larger number