Over at Mises Canada, I address the question of why college tuition has increased by so much over the past few years. Turns out it might not have anything to do with the University system itself, but is the result of an increasingly failing public school system leaving its graduates with few options.
Long story short, University degrees don’t cost so much because the
salary earned from a job available to University graduates is particularly great. It’s mainly because the alternative is so much worse.
The failing of the public high school system, which accounts for 90% of high school graduates (and the vast majority of people who don’t even make it out of high school), has reduced the opportunity cost of going to University. Since high school diplomas no longer open any doors, students are “forced” to continue their education further if they want a better life. This increases the price that Universities charge in tuition, partly in response to the increased number of students willing to pursue a degree, and partly in response to a greater willingness to pay.
If someone is upset that University costs so much, they really don’t have to look any further than the failure that is the public high school system. If you want lower tuition rates, the best solution is to shore up the quality of high schools. Of course, with public school teachers now perennially striking any time someone tries to do just that, this task is easier said than done.
Read more here.