Is The Cost of College Too High: Argumentative Analysis

Introduction

The cost of pursuing a college education in the United States has increased dramatically over the past few decades. According to data from the National Center for Education Statistics, the average annual cost of tuition, fees, and room and board at a public 4-year university for the 2021-2022 school year was $22,700, nearly triple the inflation-adjusted cost from 20 years prior. This rising cost of college has led many to question if the value of a college degree is worth the increasing financial burden it places on students and families. Therefore the aim of this essay is to answer the question "is the cost of college too high?".

The Cost of College

The Rising Cost of Tuition and Fees

Over the past 20 years, the inflation-adjusted published tuition and fees at public 4-year colleges have increased by 169%, from an average of $4,360 per year to $11,710. At private nonprofit 4-year colleges, published tuition and fees have increased by 144%, from $19,360 to $47,340 over the same time period. Several factors have contributed to these sizable tuition increases that have far outpaced the rate of inflation.

Reductions in state funding for public universities have placed more of the cost burden on students, increasing tuition prices. State funding per full-time public university student has declined by 26% per full-time student from 2000 to 2020. With less financial support from state governments, public colleges have had to raise tuition to cover expenses.

Colleges have also spent heavily on campus facility upgrades and amenities as they compete to attract students. Funds have been funneled into renovating dorms, building recreation centers and athletic facilities, and improving dining options. Schools argue these campus improvements are needed to stay competitive for top students and faculty. However, critics argue some of this spending has been excessive and driven up college costs.

Salaries for college administrators and other non-teaching staff have also grown substantially. Between 2000 and 2012, the number of administrators per student increased by over 60% at public research universities. Combined with the growth in compensation for high-level administrators, colleges have devoted more resources to administrative overhead costs.

The Impact of Student Loan Debt on Graduates

To help finance these increasing costs, students have had to turn to student loans at historic rates. Around 43 million Americans currently hold over $1.6 trillion in outstanding student loan debt. This is more than twice the amount from 2008, evidence of how quickly debt loads have mounted.

The average debt load for graduates of 4-year colleges is approximately $30,000. However, this varies greatly by factors like institution type and degree program. For example, graduates of private non-profit colleges have an average debt of $43,000 compared to $27,000 for public college graduates. Certain fields like dentistry and medicine also lead to much higher average debt.

This burden of debt makes it difficult for many recent graduates to afford major life milestones like buying a house, getting married, or having children. Home ownership rates for young adults have declined, with student debt a key factor. Graduates weighed down by monthly student loan payments also have reduced capacity to spend and invest in other areas of the economy. Young people with student debt have lower rates of small business formation and struggle to build assets and wealth.

Student loan debt is an all-around drag on economic growth and financial health. Excessive debt can also cause graduates to delay or forego entrepreneurial ventures and feel forced to take jobs solely for the pay rather than pursuing their passions. The psychological weight of debt can be immense for graduates entering the workforce.

The Value of a College Degree

The Economic Benefits of a College Degree

Despite the concerning rise in costs and debt, having a college degree still provides substantial economic benefits for most people on average compared to just having a high school diploma. People with a bachelor's degree typically earn around 65% more per week than high school graduates, amounting to over $1 million more in lifetime earnings.

The wage premium for a college degree exists across all demographic groups. For example, Hispanic college graduates earn on average $2.3 million over a lifetime, nearly $1 million more than Hispanics with only a high school diploma. The lifetime earnings boost is similar for black college graduates compared to blacks with just high school. Geographic location does not change the advantage much either. Even in rural areas, the typical college graduate will earn hundreds of thousands more than peers with only high school.

The earnings advantage also applies across career fields. Engineers, teachers, nurses, business professionals, and creatives all earn substantially more on average as college graduates versus just having a high school degree. So while costs are rising, the typical return on investment for a college degree is still high from an economic perspective.

Critics argue that not all college majors provide the same boost in earnings power. However, research shows even graduates with majors that have below-average earnings still tend to earn more than those with just a high school diploma. For example, fine arts majors typically earn around $30,000 more annually compared to high school graduates.

The Non-Financial Benefits of a College Degree

Aside from the economic rewards, having a college degree also provides several other lifelong benefits. College graduates have better health outcomes, including lower obesity rates and increased life expectancy. Their divorce rates are lower and they report higher levels of marital satisfaction.

College graduates also exhibit greater social and community engagement. They volunteer at higher rates and are more likely to belong to clubs, political organizations, or religious institutions. Voter turnout is substantially higher for those with college degrees versus just high school diplomas.

College is a time of immense intellectual and personal growth, exposing students to new ideas and ways of thinking while allowing them to hone their interests and talents. These developmental experiences impart skills like critical thinking, communication, and problem solving that have lifelong impacts. Alumni surveys show college graduates have a greater sense of job satisfaction and fulfillment in their careers.

While college costs keep rising, for most people, the experience still provides tremendous value in terms of personal development, social gains, and overall wellbeing that are not easily quantified in economic terms.

Conclusion

The cost of attending college has certainly reached alarming levels that place a major financial strain on students and families. However, despite the skyrocketing expenses, for most people, the investment in a college degree still pays off well in the long run from an economic perspective while also providing other lifelong personal and societal benefits. More must be done to rein in the inflation of college costs and make degrees more affordable through policy reforms. But for those who desire higher education, in most cases, the costs are still worth the rewards.