In recent years,some business schools in Canada have begun charging tuition of close to $35 000 per year for a graduate degree,whereas Arts faculties charge much lower tuition for their graduate degrees.Students are prepared to pay the high tuition in a business school because
A) the expected payoff in terms of higher future wages is large.
B) the cost of providing the business education is far higher than the cost of the Arts education.
C) the marginal revenue product of a business degree is lower than the marginal revenue product of an Arts degree.
D) the marginal cost of a business degree is less than the marginal benefit of a business degree.
E) they recognize that the investment in human capital is not worthwhile.
Correct Answer:
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