Enlarged graduates'enrollment scale as well as reform of graduates'tuition heats the problem of individual investment decision on graduates'education. The paper tries to solve the existing problems in former research including conformation of nonmonetary profit and establishment of index system. Through the combination of Human Resource and Financial Investment theory, ROI in HR and Entropy method, the paper makes a demonstration on the evaluation process of individual investment decision on graduates'education with empirical study, analysis of advantage on the combined ROI in HR and Entropy method, discussion of existing risk and risk avoidance in practice.The paper can be divided into three parts.The first part explains conception including human capital, features of individual investment of graduates'education and decision on the investment.The second part gives theory illustration and empirical study. ROI method in HR is introduced into data collecting, filtering and analyzing on five hierarchies including satisfaction, knowledge, application, performance and ROI. Furthermore, entropy method is used to evaluate the indexes on five hierarchies and generalize the conclusion. Compared with other two models, the method used shows its advantage and integrity.The last part makes a discussion on existing risk and risk avoidance in process of individual investment decision on graduates'education.According to three parts, individual investment of graduates'education has its superiority.
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