Class: Answer Keys to Ch 2 Class Activity Questions to do the
Peer Review & Don’t forget to answer at least one video related
question on the discussion board between Thursday and
Sunday.
Part 1 Video Questions: investing – Human Capital formation,
Benefits, and Opportunity costs
1. What did Josh gain by choosing to work right out of high
school instead of pursuing further education or training?
He had his job that paid $12,000 a year, he was married earlier
and had three kids and all the bundle of joy that comes with
having his own family.
2. What was the opportunity cost for Josh by choosing to work
instead of getting more training or education right out of
high school?
His opportunity cost is what
education might have given him, more money and job
satisfaction.
3. What was the opportunity cost for Sandy by going to the
school of Cosmetology to be a Stylist?
Fashion Designer so she chose a short-
term training program that wasn’t too demanding, and
she gave up working for herself.
4. What was the opportunity cost for David for a training
program in Graphic Design?
He missed out on a lot of fun in exchange for the benefits of a
program in graphic design; He gave up having a blast with his
buddies.
5. What was Lisa’s opportunity cost of being
an account executive for an AD agency after four years in
college?
Lisa not only sacrificed considerable leisure time by studying
hard but also gave up several years of wage earning.
6. How did the classmates’ careers differ regarding levels of
income and satisfaction at the 10th-year reunion?
Those who had good training and education earned more than
the others, and they were also satisfied with the career they
have.
7. Why did these
differences in income and level of satisfaction exist? How
could the classmates improve their career situations?
Because of the level of training and education, each one of
them has. By furthering their education and training.
8. Why did Josh have a sleepless night after the 10th year
reunion and what did he regret not doing? What did Josh’s
wife, Jane, advised him?
Because his friends seem to be doing so well, especially
compared to him. He said, “I should’ve stayed in school.” To
get back to school & invest in himself by getting the training to
become a computer programmer.
9. Has Josh opportunity cost changed from 10 years
ago? Whatwas the opportunity cost for Josh to go back
