Question

Participate in a discussion regarding marginal benefit and marginal cost. Discuss and share with your classmates the opportunity costs and benefits as a result of your enrollment in college. Also share how you’re planning to maximize your net benefit after receiving your college degree.

Answer 1

Marginal benefit refers to the benefit which one gets from consuming an additional unit of good whereas marginal cost refers to the cost one pays for the additional unit of good consumed.

The opportunity cost of enrolling in college is the cost of foregone wages which one would have to give up for enrolling in college.

The opportunity cost could also be of the money which one pays as the fees for college.

Net benefit could be maximised with the college degree when one puts it to the best possible use. A person could use his education or college degree to increase his income by indulging into unfair or illegal jobs. This would mean a higher cost to society and hence it would mean not a maximisation of the degree.

If a person utilises his college degree in a way such that the person becomes a better citizen, serves the society and also advances in his career and creates a network of opportunity, then he would be able to maximise his degree.

(You can comment for doubts)