Assuming the standard migration model is correct, estimates of the cost of moving can be as high as $300,000. What is likely the worst explanation for what this expense is so high?
A) The psychic costs of moving, for example, the uncertainty of making friends and adjusting to a new city, may be quite high for some people.
B) People may place a high cost on leaving family and friends.
C) People may attach a very high utility to the social amenities in one's birthplace.
D) Moving companies typically charge tens of thousands of dollars to transport household goods from one location to another.
E) People may place a high utility value on the cultural benefits and assimilation of their current location.

Question

Quizplus · Accepted Answer

The worst explanation for the high cost of moving is D) Moving companies typically charge tens of thousands of dollars to transport household goods from one location to another. This is because the $300,000 figure likely includes a wide range of costs beyond just the physical moving expenses, such as emotional, social, and opportunity costs, making the physical moving costs a less significant factor in the overall estimate.

Assuming the Standard Migration Model Is Correct, Estimates of the Cost