Monday, May 1, 2017

Subsidizing colleges

     Is subsidizing colleges a good or a bad thing? One argument in favor of subsidizing colleges suggests that colleges are too expensive. "In a 2010 paper, Pablo A. Peña noted that between 1850 and 2005 tuition for private and nonprofit four-year schools had seen a more than double in tuition. Peña also noted that for students, a better school, both in terms of high-quality education and a better college experience may be worth paying higher tuition. Because the college’s endowment subsidizes the cost of good professors and nice dorms, they can pay more tuition and still get a good deal" (Livia Gershon 2017).
    
 Another argument against subsidizing colleges suggests that college tuition will continue to rise as long as federal student aid programs increase with little or no accountability. "As higher financial aid pushes costs higher, it inevitably puts upward pressure on tuition. Higher tuition, of course, reduces college affordability, leading to calls for more financial aid, setting the vicious cycle in motion all over again" (William Bennett 2012). William is basically saying that this is just a never ending cycle where the cost of tuition for colleges will always rise as long as financial aid rises as well. 

     Both arguments have their own points that somewhat leave me stuck in the middle. With the argument in favor of subsidizing colleges we see that college tuition will be expensive, because the subsidies are put towards better teachers and better dorms. Kind of giving you an overall better college experience. However, on the opposite side of the argument tuition will never decrease because financial aid steadily increases. So, I would have to say that I would be in favor of subsidizing colleges even though the price of tuition won't ever really decrease.

1 comment:

  1. I disagree with your position. This is because as subsidies increase so will the cost of school. This means that college will continue to get more and more expensive. Therefore less people will have the ability to go to college simply because they can't afford the extra price. Subsidies are good to a point, but they should not be increased.

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