Opportunity cost refers to the difference in return between a chosen investment and one that is necessarily given up. It may also refer to the cost of an alternative that must be forgone in order to achieve a particular action. The opportunity cost of something is the best aspect or view that a person gives up by deciding to take one of the choices between two or more mutually exclusive choices. In this case this paper will discuss the opportunity cost of attending college. The opportunity cost of attending college involves the money used or rather the monetary and time- related costs. This consists of the money the student would have made or rather could be making were it not for attending college as well as the time the student could be investing in other endeavors.
There are several advantages or rather instances that portray the opportunity cost of attending college. To start with, there is the benefit of going to college which involves an amount of roughly $20,000 annually. The opportunity cost here is the money you would have earned from opening up a business or working instead. This brings about losing a four years salary while getting the degree you pursue. However, by attending college you hope to earn more during the career you pursue (St John 2005).
The best alternative for giving up attending college is that by choosing to go college people give up the opportunity to start a career and the income involved. The opportunity cost of attending college is rendered very expensive in that the four years of career pursuit gives up so many opportunities and much income that would have been realized if people did not choose to attend college.
References
St. John, Edward P.; Paulsen, Michael B.; Carter, Deborah Faye. "Diversity, College Costs, and Postsecondary Opportunity: An Examination of the Financial Nexus between College Choice and Persistence for African Americans and Whites." Journal of Higher Education, 76.5 (2006): 545. Web.
"What Is the Opportunity Cost of College? (with picture)." wiseGEEK. N.p., n.d. Web. 26 Aug. 2013.
