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Signaling and Screening Problem

Assume that you view a degree as a ticket to a high-paying job along with prospects of quick promotion, and that accumulating human capital by learning and studying valuable material is largely not relevant. Your perception is which a college degree functions primarily like a mechanism to: (1) achieve class, status, and power.  (2) signal characteristics that potential employers use in screening. (3) maximize the value of your marginal productivity. (4) connect with other graduates who may be helpful later in your career. (5) secure information regarding potential job openings.

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