College Afforability

The Institute for Higher Education Policy released a white paper this week to address the question, “Is College Affordable?” The paper aims to “gently challenge the emergent theme, embraced by many a higher education critic (and such tough-love supporters as President Obama), that colleges are pricing themselves out of reach of many Americans.”

The authors, the economists Sandy Baum and Saul Schwartz, try to reframe the discussion about higher education funding away from questions such as what colleges are charging, how much of students’ and families’ incomes they are spending to earn their degrees, and whether increasing numbers of students are accumulating large levels of student loan debt.

From the white paper: Rising college prices, stagnating incomes, and diminished asset values have led to the widespread perception that college is “unaffordable” for more and more people. The role of student aid in reducing the prices many students pay is too complex to be widely understood, and in spite of increasing enrollment rates, most people do not question the idea that college is unaffordable.

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