INSTRUCTOR DISCUSSION NOTES:
No One Wants to Visit the US

1. How is opportunity cost used in this article?

The wait time for a visa has increased, forcing people to choose between waiting for a US visa, or traveling to a different country.

2. Consider the proposals suggested by politicians. Assuming that they are implemented as they are written in the summary, will foreign travel increase again?

The opportunity cost of travel will have fallen, but that doesn't change the fact that people view the US as unfriendly to foreign travelers. That is not being addressed in those policies.

Multiple Choice/True False Questions

1. According to the article, what has happened to the market for visas for entry into the US?
  1. Demand by foreign travelers has fallen.
  2. Demand by foreign travelers has risen.
  3. Supply by US consulates has risen.
  4. Supply by US consulates has not changed.
ANS . a

2. True/False. Increasing the visa-processing staff will reduce the implicit costs of receiving a visa.

ANS .True

3. A weak dollar relative to the Euro should have caused more travelers to want to come to the US, and yet travel fell by 3%. Why?
  1. Opportunity cost of waiting for a visa was too high.
  2. Special deals were occurring for travel into other countries.
  3. Many other countries were less friendly than the US upon entry.
  4. None of the above.
ANS . a

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