Americans are finding out that the cost of pursuing a college degree is steadily on the rise. According to the College Board’s annual report, tuition and expenses for colleges have had the smallest annual increase this academic year. However, costs have increased over the past ten years by 34%! This number is calculated after grants and tax benefits are considered. Along with this 34% increase in public university tuition and room and board, the state and local funding continues to decrease. Large universities compete for top students, making their prices increase far more than the two-year schools.
The American family does not have more money to pay for higher education either. The average median household incomes have for the most part remained the same or declined in recent years. In summary, today’s students are faced with an uphill battle in furthering their education and obtaining a college degree with higher tuition/room and board, lower state and local funding, and parents who cannot afford to assist as well. However, students know that the cost of college is still worth the potential long-term financial benefits of holding a degree.
Policymakers’ have put this education issue back on their radar. Higher education often competes with Medicaid funds or other spending, and usually loses. President Obama began pitching a plan to curb college costs that includes a rating system that would assess the value of each college. The value schools offer their students by ranking could, some believe, pressure colleges to lower costs. Their value would be rated by factors such as graduation ratings and average student debt.
From the Article titled “Cost of College Continues to Skyrocket While Policymakers Seek Solutions” by Mike Maciag.