SEDUCTION

You're Dunc's Financial Adviser

Where should Dunc stop investing in education — and what would make university worth it?
Rates of return to human capital investment
EDUCATIONAL INVESTMENT → MARGINAL RATE OF RETURN → PRIVATE OPPORTUNITY COST MARGINAL RETURN PRIVATE OPTIMUMRETURN = COST PRIMARY POST-16 UNDERGRAD BEYOND UG RETURN > COST · INVEST RETURN < COST · STOP GRANT LOWERS COST NEW OPTIMUM