Optimal StoppingRuleMarginal Cost.Marginal rate ofreturn(MRR)Optimallevelof SchoolingisSMCMRRSYears ofschooling
Optimal Stopping Rule
Optimal Stopping RuleMarginal Cost,Marginal rateofreturn(MRR)Increases inthemarginal cost ofschoolingleadstoa declineinoptimalamountofschoolingMC'MCMRRS'S*Yearsofschooling
Optimal Stopping Rule