<p>I'm so glad my parents don't read this message board... lol. I can hear it now. "Mark, why did you have to fall in love with an expensive LAC???"</p>
<p>Washington and Lee tuition going up from $27,960 to $31,175. By my math that is 11.5%.</p>
<p>From a very interesting article related to this topic:
<a href="http://encarta.msn.com/encnet/departments/elearning/?article=socialmobilitycontra%5B/url%5D">http://encarta.msn.com/encnet/departments/elearning/?article=socialmobilitycontra</a></p>
<p>"Financial clouds are drifting over the world of higher education...</p>
<p>Public universities still cost less than private schools, but only because they started out cheaper. Their cost is climbing at rate that rivals or outpaces that of private colleges.</p>
<p>Why? Peek behind the curtain. Public universities are now public in name only. State support for these institutions is plunging. Penn State, for example, gets only 12 percent of its money from the state of Pennsylvania. The University of Colorado gets only nine percent from Colorado. The University of Virginia, one of the country's first public universities, founded in 1825 by Thomas Jefferson, is down to 8 percent. All the rest of its operating budget comes from tuition and private fundraising. Of course state universities charge tuition. Of course they're raising their rates. They have no choice."</p>
<p>"The Blacksburg school's governing board yesterday increased tuition, fees and room and board about 8.3 percent for in-state students. The annual cost rose from $10,834 to $11,739.</p>
<p>The $905 increase, which will go into effect this fall, is part of a plan announced last year to increase tuition and fees at Tech for several years.</p>
<p>Non-Virginian students at Tech will see the annual cost of their education rise from $22,293 to $23,815, an increase of about 6.8 percent." - Rex Bowman</p>
<p>Yes, the Texas legislature deregulated the university system here a couple of years ago. UT immediately went up 35% and climbing.</p>
<p>Why is tuition increasing so much more than inflation? I can understand public universities...they are getting less public funding. Why are private schools? Are the operating costs increasing at that rate? Are the professors getting 4-7% pay increase each year? If so, is it because of supply and demand? Not enough professors? Or is it simple supply and demand with the students. If people are willing to pay it, you can charge it? I read that something has to give...but I wonder when. And what will be responsible.</p>
<p>WUSTL will charge $31,100 for the 2005-06 academic year a $1,400 (4.7 percent) increase over the previous year.</p>
<p>the $31,100 tuition at WUSTL doesn't include $10,754 for room and board, plus $300 for fees....</p>
<p>Rice U about $36,500 for incoming freshman, including room and board fees.</p>
<p>Yes, Rice is still considered a best buy among top twenty schools.</p>
<p>I agree with Roger that at some point, something's got to give. At what point will 4.5-7% yearly cost increases render higher education out of reach for all but the very wealthiest among us? As has already been pointed out, tuition/room and board increases far outpace inflation by more than double year after year. I just don't buy the argument that the actual costs of educating students far exceed full price. How can that be? Mini, can you back up this claim?</p>
<p>If institutions subsidize the cost of attending for ALL students, how can they afford to bleed such massive amounts of red ink year after year and remain solvent? Some of them have amazingly large endowments, but even the largest are not bottomless wells. In fact, many schools' endowments seem to grow instead of decline, don't they? So how are schools losing money while routinely raising the yearly costs of attendance far above the rate of inflation?</p>
<p>
[quote]
I just don't buy the argument that the actual costs of educating students far exceed full price. If institutions subsidize the cost of attending for ALL students, how can they afford to bleed such massive amounts of red ink year after year and remain solvent?
[/quote]
</p>
<p>Most colleges post their annual financial reports on their websites. Swarthmore's is here:</p>
<p>In fiscal year 2004/05, the total operating expenditures per student were $69,212 (not including financial aid of $11,137 per student, which is accounted for as reduction in student revenues).</p>
<p>Where do the operating revenues come from?</p>
<p>Endowment income spending: 42%
Student revenues (after discounts): 39%
Gifts and grants: 11%
Other revenue: 8%</p>
<hr>
<p>You are probably correct that the operating costs do not exceed student revenues at the vast majority of US colleges and universities. It is only the most heavily endowed schools (dozens, maybe a hundred) where operating expenses significantly exceeds student revenues. In the most basic of economic terms, this is why these colleges have customers lined up around the corner....just as the Mercedes dealer would if he ran a half-price sale.</p>