Tuition costs have risen 710% since 1983
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Tuition costs have risen 710% since 1983
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Re: Tuition costs have risen 710% since 1983
#2The only service category that has outpaced higher education is hospital services.
Re: Tuition costs have risen 710% since 1983
#3Main cause: Government-backed student loans.
While it is technically the student paying, in reality the money is going (indirectly) from the federal reserve to the universities.
Everyone loves free government money...
The fact the student may never pay off those loans (and hence the government foots the bill) is the cherry on top.
Re: Tuition costs have risen 710% since 1983
#4The only service category that has outpaced higher education is hospital services. https://www.aei.org/carpe-diem/chart-of-the-day-or-century/
And interestingly both have predominantly grown in "administrative" costs
Re: Tuition costs have risen 710% since 1983
#5Short-term, students need recourse. Defaulting on loans creates a cascade of consequences that necessarily harm borrowers earning potential for years (e.g. colleges can withholding proof of attendance, decline in credit score, wage garnishments, etc.) There are loans that are highly likely to default regardless after the COVID moratorium on payments ends .
no they don't, as mean as this may sound. The data shows that college grads earn way ore than non-grads, even after accounting for inflation and loans. people who fial to finish or fail to attend college do way worse. Thanks to an abundance of aid, scholarships, and other discounts, hardly anyone is paying these inflated tuition prices in full.
Re: Tuition costs have risen 710% since 1983
#6Main cause: Government-backed student loans. While it is technically the student paying, in reality the money is going (indirectly) from the federal reserve to the universities. Everyone loves free government money... The fact the student may never pay off those loans (and hence the government foots the bill) is the cherry on top.
Got a source for that claim?
Re: Tuition costs have risen 710% since 1983
#7Won't it go up more if colleges can be assured that students will be bailed out?
Re: Tuition costs have risen 710% since 1983
#8I would love to see comparative data on how the average college-educated worker's earnings have changed during the same time frame!
My guess is that the adjusted wages haven't risen much over time, or at least nowhere near as steeply as the associated education costs have.
Re: Tuition costs have risen 710% since 1983
#9The only service category that has outpaced higher education is hospital services. https://www.aei.org/carpe-diem/chart-of-the-day-or-century/
And interestingly both have predominantly grown in "administrative" costs
If we get the government more involved in funding these things directly, it can only improve the outcome.
Re: Tuition costs have risen 710% since 1983
#10Makes sense when you have student loans backed by the federal government. If an 18 year old with no money and no credit history gets accepted into a qualifying university, she will be able to receive a loan since the bank knows that the government will protect their investment if she fails to pay them back. So now young people have this easy access to credit, and universities can greatly increase tuition and fees with the confidence that their admitted students will be able to pay.