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All Posts for The President's Blog

How Much Does It Cost to Educate an Undergraduate?

March 17th, 2014 by dfarish

Wow! Such a big question! Let’s start by making a key distinction:

(1) One might interpret this question as, “How much does a university charge the student and parents?” Allowing for such significant complications as different sticker prices at different universities, different financial aid packages for different students at the same university, different fees for different majors, additional charges (primarily from rising tuition prices) in the sophomore, junior and senior years – it is nonetheless the case that, when the incoming freshman arrives on campus, he or she (and the parents) know fairly accurately what their out-of-pocket costs will be, at least for the first year. So while this is an important question, and answering it can be confusing and time-consuming, in the end it is answerable. But consider the second alternative.

Merit Versus Need

October 21st, 2013 by dfarish

The New York Times published an article by Catherine Rampell on Sept. 24 titled “Freebies for the Rich.” (Another version of the same article was published in the Times Sunday magazine on Sept. 29.)

In the article, Ms. Rampell points out that, at public universities, the share of aid devoted to “merit” has tripled, to 29 percent, over the past two decades. She also points out that metrics used to determine merit, such as SAT scores, are closely correlated with family income: whereas only one student in 10 receives merit aid in families earning less than $30,000, one student in five receives merit aid in families earning over $250,000.

The Debt Problem – Part I

March 11th, 2013 by dfarish

In his column in The New York Times on March 9, Charles M. Blow states: “We are reaching a crisis point in this country’s higher education system” because of “staggering levels of debt.” He notes that student loan debt has more than doubled in the last eight years, to almost $1 trillion, and that, not unexpectedly, student loan debt is hardest on families in the bottom quintile of family income. Mr. Blow ends his column with, “We are on an unsustainable track. This will not end well.”

How is it that this problem has become so large so quickly? How do we fix it? Is this as big a problem as people claim?

I’m glad you asked. This is a problem that resulted from many intersecting forces:

Should Price Reflect Cost? (Part 2)

January 21st, 2013 by dfarish

In Part I of this post, we discussed how the “high cost/high aid” model of price and cost in higher education has led to growing educational debt and a widening achievement gap between affluent and low-income students. This week, we’ll talk about how (and why) to change this model.

But first: consider the following hypothetical conversation between an admissions officer and two prospective students, as he explains the college’s financial aid policy:

Should Price Reflect Cost? (Part 1)

January 14th, 2013 by dfarish

In a major front-page, above-the-fold article on Sunday, 23 December, The New York Times told of the widening gap in college completion rates for high-income versus low-income students. The Times illustrated the broader story with specific examples, including one of a student who was admitted to Emory University on what she thought was a full-need scholarship – but, because of problems in completing her financial aid forms, she arrived to find she had no institutional aid, and needed to borrow $40,000 just to enroll for her first year. Ultimately, her financial problems reached the point where her grades suffered, and she was suspended in her senior year. She now has an educational debt of almost $60,000, but no degree.