What are migration costs from moving to puerto rico to us

Reference no: EM131790596

Question: The present value of working in Puerto Rico is PV_PR = (1 + r)W_PR/r, and the present value of working in the U.S. is PV_US= (1 + r)W_US/r. Suppose W_US = $46,000, W_PR = $21,000, and r = 0.05. For a Puerto Rican who is indifferent between working in the U.S. and working in Puerto Rico, what are the migration costs from moving to Puerto Rico to the U.S.?

Reference no: EM131790596

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