Calculating the present value of college education

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Consider the method of calculating the present value of a college education, shown in the spreadsheet in the spreadsheet linked to in the Course Content slides.

How would you change the calculation to make it more realistic, or more applicable to your own case? For example, how would you modify the present value calculation to take account of the fact that college-educated workers are much less likely to be laid off or otherwise unemployed? How would you account for the different returns from different degrees? Is the only reason for going to college to increase your future expected earnings?

Reference no: EM131027117

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