The public policy blog of the American Enterprise Institute

Subscribe to the blog

Discussion: (2 comments)

  1. It is pretty funny how they are all patting each other on the back for “only increasing tuition 3%” when inflation was 1.75% last year. Call me when the increase is cut in half again from this rate.

  2. Laura L Coker

    A helpful basic summary-and the links are appreciated.
    I have not read all the materials, so present only brief issues for consideration.
    The Net costs vary widely and are strongly influenced by parental wealth & career status, race & alumnus status. Additional factors is the selection for sponsorship of endowments based upon political loyalty by the parent or prospective student. For profit, high value elite institutions are noted for campus recruitment to status private government related jobs, such as George Washington University and Harvard. This represents an elitist advantaging that is unmatched elsewhere. Tuition here is greatly endowment or direct scholarship subsidized. Costs are disproportionate as the goal is to maintain this elite status pool & designation which creates unparalleled lifetime advantage beyond any direct benefit provided by the quality of education.

    Private, for profit institutions that provide certificate educations have captured to most vulnerable and least able to repay clients who hope employment through the offered job assistance programs, will get them actively employed. Failure rates here drive up the insolvent debtor rates but create “indentured servitude” as these loans can never be discharged through bankruptcy. This is a educational loan bubble where the 80% participation increase should alarm us. these institutions have not incentive for cost containment-relying instead upon recruitment and fast turnover.

    Pell Grant increases are vital to the support of State & Community Colleges who can decrease tuition costs, as these product expectations do produce employment, degrees & revenue in keeping with the expectations upon which they advertise.

    Thanks for an interesting informative article.

Comments are closed.

Sort By:

Refine Content:


Additional Keywords:

Refine Results

or to save searches.

Refine Content