Thursday, September 22, 2016
Today government and tax money are subsidies 2/3 for someones tuition. Because of this many people are getting more educated. According to Chris Edwards The U.S. Department of Education spends tens of billions of dollars a year on subsidies for higher education. The bulk of the spending goes to student aid, with the balance going to grants for educational institutions. Federal Pell grants are more than $30 billion a year, federal student loans are about $100 billion a year, and grants to colleges and universities are $2.5 billion a year. ( Chris Edwards, www.downsizinggovernment.org, 11/01/2015). The Federal government and taxpayers are aiding colleges but adding funds to improve education in those colleges. From this colleges are getting more and more experienced in educated students. With students well educated many highly educated jobs will be filled make the economy strive to better place.
Some people say that subsiding colleges are a big waste of money. What Jarrett Skorup say though is Colleges set tuition rates relative to supply-and-demand, but government subsidies distort this process and inflate the cost. That's why schools like Grove City College and Hillsdale College, which receive no government funding, do a much better job at keeping down the cost of tuition. Annual tuition at Grove City is $13,598, the cheapest of all institutions of higher education in Pennsylvania. Tuition at Hillsdale is $20,760 a year. Both are much cheaper than the average cost of private colleges and universities in the country at $31,975 a year. ( Jarrett Skorup, 04/13/2013). People say that since the government gives money to colleges then prices for colleges will go up more then usual. Prices of tuition and supplies would go up to making it harder for a student to enroll in those colleges.
Where do I stand on this? I think that the government and taxpayer money should go to colleges but at a certain amount. the amount now is could be fix or stay the same. If government subsidies go up more for colleges then many colleges will charge more the others since they have better equipment and supplies. But if the subsidies are too low then it would be harder for residents to enroll into colleges. So we should not raise the subsidies but also not lower subsidies for colleges.