<p>"As you say, it doesn't jeopardize your retirement, house, or future, and the reason is that, over the longer run, you have (financially) done quite well, much, much better than the rate of inflation would suggest."</p>
<p>I don't know what I am jeopardizing. I'm making a bet that it won't jeopardize retirement, housing, the future. If I knew it would, I wouldn't spend the money.</p>
<p>It does matter to me why I spend the money.
To pay for an education is one thing. To keep paying up for status, doesn't do it for me.</p>
<p>However, so my kids can walk around the rest of their life and say, "I graduated from "so and so" is nice. I will pay more for their status than my status. Our college degrees are titles, just like being the Duke or Duchess of York is a title. Some colleges are nice titles and some titles are worth more than others. So if you are into titles and can afford it, why not?</p>
<p>mini: I think you are right. They could probably double the price and continue having the wealthy subsidize the lower end folks and increase demand. Interestingly enough the net cost would stay the same for a now middle class full-freight person as their EFC would stay the same(if they are at the cutoff). I am sure they do not do it for political reasons.</p>
<p>It is hard to really say how high one would go. It is like buying a house.You tell the real estate agent your maximum price and low and behold you always seem to end up buying more. For some reason even several years ago I thought around $40 k per year would be my choke point. Maybe because that first two digits of that number was the same as the years of age I used to think made one old.</p>
<p>Not even sure you need to be in the top 3%. I remember back about 20 years ago projecting what college mugh cost for my then newborn D. Most people thought I was nuts predicting about $30 K per year. Well it ended up being higher closer to $40 K. If you had asked me back then if would I pay that much I would have probably said "No way!". Oddly enough we are ful-freighters but to pay for D and not sacrifice retirement I have been riding a 14 year old bike to work, have 12 year old cars, keep the thermostatat about 63 in the winter and only dream of buying a flat screeen TV. Why? Because for her it was the right school. Do I think it is worth it? Probably not but she earned the opportunity and I had told her when she was in first grade she could go to the best school for her to be able to pursue her dreams if she could explain why it was the best. She is also contributing some. Now for S,well we will see.
It is a moving spending ceiling for many folks, I think.</p>
<p>"They could probably double the price and continue having the wealthy subsidize the lower end folks and increase demand. Interestingly enough the net cost would stay the same for a now middle class full-freight person as their EFC would stay the same(if they are at the cutoff). I am sure they do not do it for political reasons."</p>
<p>Actually it would do more than that. If you believe in the "subsidy" theory (I do, but can understand those who believe the subsidy doesn't buy much of value), it woul mean less money going into subsidizing those who don't need it. Alternatively, it would allow the free market to set a much higher price. It would raise prestige (sometimes status comes simply from spending more). It would certainly raise the prestige for those newly discounted folks, as there would be more mothers (and fathers) able to boast "My kid goes to Princeton, and on a scholarship!) It might net them a little bit more income (but that would be wholly secondary.) </p>
<p>"Those full payers with incomes around the top 3% of incomes aren't living large."</p>
<p>Having seen any mudhuts lately, even offered through the Harvard advanced anthropology department. ;)</p>
<p>When we started to homeschool, we had trouble deciding whether to call ourselves Harvard or Yale. We finally settled on "Shantiniketan" - India hands will understand the reference.</p>
<p>But even we, from the unwashed middle, don't live in mudhuts.*</p>
<p>Yeah, D1 will be out and unemployed by then. So now we have to wait, and see at what rate we can rent D2 out.</p>
<p>(She's not "mudhut"-ready, which means no Ivies for her! ;))</p>
<p>"Our college degrees are titles, just like being the Duke or Duchess of York is a title. Some colleges are nice titles and some titles are worth more than others."</p>
<p>So, I actually have a legal "Esq." after my name, and I am not a lawyer. Oxford M.A. Also gives me the right to "dispute", and to wear a silver dress sword on my left side.</p>