Question is incomplete
Answer and Explanation:
However let us assume Wage function with number of education years is given by:
F(w)= 14+5x
Where W is wage, 120 is normal wage rate per hour without education, 5 is coefficient of X and multiplier effect of education on wage, X is number of education years
If Dan has 12 years of education, we substitute in the given equation
Wage w=14+5*12=$74 per hour
Marginal effect of Additional year of education is effect of one more year of education on wage rate:
W=14+5*13= $79 per hour
Therefore marginal effect of additional education year = $79 per hour - $74 per hour
=$5 per hour