The figure shows the cost of college for high- and low-productivity workers. Based on the college wage premium: Income 400 (thousands of dollars a year) 300 200 100 Cost low productivity Cost high productivity College 4-year wage premium Years of college O a. neither type of worker will get a four-year degree. O b. high-productivity workers will get a four-year degree. O c. all workers will get a four-year degree. O d. high-productivity workers will choose six years of college.

The figure shows the cost of college for high- and low-productivity workers. Based on the college wage premium: Income 400 (thousands of dollars a year) 300 200 100 Cost low productivity Cost high productivity College 4-year wage premium Years of college O a. neither type of worker will get a four-year degree. O b. high-productivity workers will get a four-year degree. O c. all workers will get a four-year degree. O d. high-productivity workers will choose six years of college.

Microeconomics: Principles & Policy

14th Edition

ISBN:9781337794992

Author:William J. Baumol, Alan S. Blinder, John L. Solow

Publisher:William J. Baumol, Alan S. Blinder, John L. Solow

Chapter19: Labor And Entrepreneurship: The Human Inputs

Section: Chapter Questions

Problem 4TY

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