If All University Students Had to Pay the Full Cost

question 55

Multiple Choice

If all university students had to pay the full cost of their education,

• A)the economic efficiency of the higher education system would be greatly enhanced.
• B)vertical equity would be enhanced,since university students would internalize the externalities of their educations.
• C)horizontal equity would be worsened because university students in general come from the lowest- income families.
• D)the federal debt could be eliminated.
• E)they would probably choose less education than what is socially optimal.

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Definitions:

Verbal Acceptance

An agreement to the terms of an offer conveyed through spoken words rather than written.

Promissory Estoppel

A legal principle that prevents a promisor from retracting a promise when the promisee has relied on it to their detriment.

Equitable Treatment

Fair and impartial treatment of all parties involved in a legal matter or transaction.

Uniform Electronic Transactions Act

A set of laws enacted to establish the legal validity of electronic signatures and records in commercial transactions.