Q466. A state agency is considering a childcare subsidy that would facilitate single parents attainment of college degrees. The benefit would cost $10k per recipient per year for four years. The expectation is that individuals with a college degree will earn more than individuals without a college degree. This means that they generate more revenue in the form of income tax. They are also less likely to require government assistance of various kinds — call this amount A. Assume current rules limit us to a ten year time horizon. Assume the average salary difference between non-college grads and college grads is D (but get the real info here) and that the marginal tax rate can be found here. Assume a 5% discount rate. For the purposes of this problem, we will ignore inflation.
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Difference Equations DE01 notation | DE02 text2eqns | DE03 pn+1 chart | DE04 excel | DE05 de-and-etc | DE06 caveats |
Flow Chart FC01 text2chart | FC02 stepwise-refine | FC03 time-dol | FC04 diagnose | FC05 software | FC06 caveats |
Decision Tree DT01 probability | DT02 emv | DT03 text2chart | DT04 simple-tree | DT05 val-of-info | DT06 risk | DT07 imperfect-test | DT08 utility | DT09 concepts-terms | DT10 caveats |
Cost Benefit CBA01 basic-idea | CBA02 compute-nb-mb | CBA03 four-scenarios | CBA04 workflow | CBA05 concepts-terms | CBA06 caveats |
Discounting D01 basic-idea | D02cmpnd-int | D03 compute-NPV | D04 whence-DR | D05 curves | D06 concepts-terms | D07 caveats |
Stock-n-Flow SF01 concepts-terms | SF02 text2loop | SF03 text2sf | SF04 sf2de | SF05 describe-systems | SF06 software | SF07 caveats |
Markov MM01 general-idea | MM02 system-prereqs | MM03 text2matrix2diagram | MM04 2excel | MM05 concepts-terms | MM06 caveats |
Linear Programming LP01 concepts-terms | LP02 text2ineqalities | LP03 solve-graphically | LP04 excel | LP05 caveats |