The Rising Cost of a College Degree

Perhaps the most pressing concern regarding higher education is the increasing cost of attending college. Average annual tuition and fees for attending a four-year private university hovered around $19,000 in 1987-1988. In 2007-2008, the tab was over $32,000 annually.

Some institutions with stronger endowments can offer substantial scholarships and financial aid, yet many cannot. Education is one of the few industries in the U.S. that has become less rather than more productive. This is not a minor issue; higher education is the engine for continued creativity, entrepreneurship and innovation in the coming decades.

Some have said that spending by higher education is simply frivolous. Wrote a reporter for Money magazine: “If colleges were spending most of their money on initiatives that improve the quality of education for students, you might regard price hikes running at two to four times the rate of inflation as a necessary evil. But spending on palatial dorms, state-of-the-art fitness centers and a panoply of gourmet dining options? Maybe not.”

Read the full article at CNN/Money.com.

For the most recent trends in college costs, visit collegeboard.com.