Most undergraduate degrees in America are affordable, and in many cases going to college is getting cheaper
of many private colleges in America has reached $80,000 a year. The median household income in America in 2021 was $71,000 a year. This shows thatThe consensus view is that America has a college-affordability crisis and things are getting worse. According to the Heritage Foundation, a conservative think-tank, “college costs are out of control”. Bernie Sanders, a senator from Vermont, and other progressives have pushed for free college and loan-forgiveness for years.
At first glance, public colleges in America look more expensive than most of their rich-country counterparts. America ranks second-highest for fees in theAmerican universities advertise a sticker price that few students actually pay. According to the National Association of College and University Business Officers, a non-profit organisation, private colleges discount tuition by over 50% on average. And contrary to the common narrative, the net cost of public and private colleges has fallen.
This discrepancy between the sticker price and the net price creates confusion, but it continues because it is valuable to colleges, says Beth Akers of the American Enterprise Institute, a conservative think-tank. Wealthy students pay the full price, subsidising their poorer peers. The higher prices are also good for marketing. Consumers tend to associate higher prices with higher quality. And students are flattered by tuition markdowns pitched as merit scholarships rather than discounts.
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