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Auto loans, credit card loans, and mortgages have all declined.
Another issue plaguing higher education is how to curtail of abates the influence of these rising costs on the lives of their students. Many of these costs are indirectly correlated to tuition and are therefore uncontrollable in a market subsidized by government. However, many issues are directly related to the tuition, and are therefore controllable. These include student demographics, institution financial aid policies, and overhead costs. Higher education must most now access the available options in order to lower the overall costs of tuition. Distance learning for example can lower the costs associated with the cost of living. Online courses can lower the overall cost of courses. Either way, higher education must subsequently deal with these costs in a manner that benefits the institution while also helping incoming students. This aids the overall strict user pay argument as those willing to pay can elect to utilize cheaper and often more efficient solutions such as distance learning.
In addition to the overall cost of tuition, more students are attending college. This on the surface may seem beneficial to society, however in some instances it is a detriment. For one, there is now an over supply of college graduates entering a job market with less demand for their services. The job market, as seen with its three-year run of unemployment over 8%, is not demanding the services of college graduates. This is then coupled with the issue of irrelevant skills in regards to overall work environment. Majors such as art history, liberal arts, psychology, and journalism are experiencing high levels of unemployment as their skills are antiquated. There respective industries are undergoing fundamental change predicated on technology. As such, these students are acquiring skills that employers have an abundance of, or are no longer looking for. These individuals are forced to take employment elsewhere are a substantially lower rate of pay than they otherwise would have garnered when they first enrolled in college. In many instances, students go on to further their skills with graduate degrees which ironically require more debt financing. This vicious cycle creates many issues in regards to higher education. Namely these issues include irrelevant or antiquated skills juxtaposed with higher tuition costs. These heightened costs create large amounts of debt relative to income. The antiquated skills are not sought after by employers and students are therefore forced to take lower paying jobs while still having high debt burdens. As such, the percentage of their income going simply to debt payments increases. This lowers the quality of life for the individual as less money is allocated to discretionary or recreational spending.
This I believe to be the primary benefit of stick user pay regulations. If users are taking the entire financial burden, they are less likely to enter college. Therefore, those graduating will likely decreases as more individuals are discouraged from entering college. This will ultimately enhance the value of those who were willing to pay for their degree as fewer individuals posses the credential. By financing their own tuition, those individuals are also more likely benefit from a decline in degree seeking students. Classes will be smaller, tuition lower, and the overall quality enhanced.
In conclusion, higher education the costs of higher education is a major conundrum that will plague universities in the near future. These costs must subsequently be abated if society at large wants to remain competitive with its international counterparts. By allowing the user to pay, many of these problems will be eliminated. Furthermore, as indicated above, students and higher educational facilities need to teach the most relevant and sought after skills to their students. These transferable skills must be possessed by all students. Otherwise, students incurring large amounts of debt will be unable to repay them appropriately, as they are unable to find relevant work. As such, students and higher educational facilities must teach these students transferrable skills that will be relevant irrespective of their industry (Green, 1988). Finally, due in part to the vast amounts of student with degrees, there is a minor saturation of the market in regards to employments. Due to over supply, employers can subsequently pay recent graduates less, as they can easily find another candidate with comparable skills. This creates problems in regards to income. As indicate above, pay for college graduates have declined due to this oversupply. By allowing only the users to pay without government subsidization, the amount of degrees in the market will decline.
1) Ewell, P.T. (1999). Assessment of higher education and quality: Promise and politics. In S.J. Messick (Ed.), Assessment in higher education: Issues of access, quality, student development, and public policy. Mahwah, NJ: Erlbaum.
2) Finn, C.E. (1988, Jul.-Aug.). Judgment time for higher education: In the court of public opinion. Change, 20(4), 31-38.
3) Forest, James and Kinser, Kevin. (2002). Higher Education in the United States: An Encyclopedia. Santa Barbara: ABC-CLIO.
4) Green, Madeleine, F., ed. 1988. Leaders for a New…[continue]
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