Question

Your brother is happy for you and excited about your college goal. He wishes he could go back to school full-time, too, but he feels like the opportunity cost is too high. He’s the manager of a local store, and he’s comfortable with his lifestyle and finances.

Which of these is the best comparison of your opportunity costs?
Question 2 options:

Your brother's opportunity cost of getting the degree is higher than yours because he hasn't done any research about the degree yet.


Your brother's opportunity cost of getting the degree is higher than yours because of factors such as his income, job, and age.


The opportunity costs for you and your brother are the same, but your attitudes about risk are different.


Your brother's opportunity cost of getting the degree is lower than yours because he makes more money.

Answer 1

Option 2.

Your brother’s opportunity cost of getting the degree is higher because he would forgo more—current income, job position (manager), benefits and lifestyle—and factors like age and career stage can raise the cost of leaving work to study full time.