Why is the cost of college going up
The Real Reason College Costs Are Going Up: Too Little Government
really offsets
it was a piece in the number
what are things we were talking about is the rise
in college education and we've had plenty libertarians call and say well
the problem is
student months because
a student loans a basically pump the a prime the pump
it allows more people to go to college you should be going to college allows
institutions to raise their prices
now I think there is something to that but that is not there is very little
correlation
between increase in student loans an increase in prices
but what there is correlation
to is the cost of a bachelor's degree at public universities
it is gone up 40 six-percent in real dollars from 2000 to 2010
now understand that public universities are the lowest cost option that people
have
if the lowest-cost option rises in price by 46 percent
it actually creates an upward pressure on prices
for private institutions the lowest-cost option
goes from two dollars to ten dollars
for a hot dog or whatever it is
then the high and %uh for steak is gonna go up
by an equal amount if not more why did this go up
over the same 2008-2010 period
education and related spending per full-time student
rose just 6.4 percent when you control for inflation in other words the costs
of educating these people
has not risen
operation and maintenance costs actually fell during that period as did academic
support
I think that's probably a function I love more TA's
better technologies so why
the the two has the tuition skyrocketed the recession put extra pressure on
state budgets but the share spending that goes to higher education
has been slipping for fifteen years
in 1998 13-point 1 percent of state general fund spending went to higher
education
by 2012 that number was down
to 10 percent that translates into a significant drop in funding per student
01 state governments appropriated 8500 preach full time student or the
equivalent
by 2012 that it fall into 5900 production up almost a third
the show with their share of two we r
revenue that comes from tuition rose from 29 percent 2000 to 47 percent
last year public institutions in other words states are cutting back on their
funding
for public colleges it is raising the price of tuition
have no problem with ending
many up this student loan programs
the day after we drop
public a university tuitions down to
I pic below 2001 levels
and I understand
you know I think we should still obviously have loans available
now understand that people are concerned that in some way this going to stratify
only rich people go
to Harvard year to year dollar to
but I imagine those and downs have the ability to diversify their
their student body
