Answer to Question #97522 in Macroeconomics for tugce

Question

In most of the developed countries after 1900’s, states started provide free healthcare services, and social security programs, as a result, in general, citizens of those countries, were able to get some income from their states, and at the same time, they get an additional financial support, whenever they have unexpected medical cost. We may assume as a result of these developments, the relative value of the future income for the people has increased. How may have this affected the number of young people who are willing to get collage education?

Answer 1

In 1900, college education was quite expensive, and not every family could afford to send a child to college. after the states began to provide free medical services and social security programs, household expenses fell, therefore, they began to have money that many invested in their children's education, because it is known that the better the education, the higher the average salary. Thus, after the 1900s, the number of young people who are willing to get collage education began to increase.

https://pnhp.org/a-brief-history-universal-health-care-efforts-in-the-us/