A Financial Look at College Education in America Essay

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A typical eighteenth-centry American college was loosely modeled after England’s Oxford and Cambridge. In the colonies there were nine colleges founded before the Revolution and they are still in business today. They are Harvard, William and Mary, Yale, Princeton, Columbia, Penn, Brown, Rutgers, and Dartmouth. In 1851 Reverend Absalom Peters remarked “Our country is to be a land of colleges.”(Chapter 1 Page 2)
There were two periods in history of upheavel in American higher education they were “catastrophic angst.” The first was in the 1860’s the emergence of modern university. Then after World War II the second was invention of mass higher education. The United State evolved a diversity of large and small, public and private colleges
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Colleges give more help to rich kids then they do poor kids. They do this to attract higher academic achievers, athletes, and artists. A group spent $171 million on aid for poor kids in 2003 for families that made less then $20, 000 a year. Rich kids received $257,000 in aid from families making more then $100,000 a year.
Some students will have to make $94,000 a year to pay off student loans with in 10 years. College cost have been rise about 6 to 7 percent a year.A headline from the New York Times, “Higher Education May Soon Be Unaffordable fotMost Americans.” (Chapter 3 Page 51) For the poorest of Americans it will cost 55% of their income to attend public university. A teacher said she made just under $100,000 a year which is only a quarter of what each of her students pay.
If the economy is good colleges expand facilities and programs and also increase tuition. When the economy is not so good the colleges state subsidies atrophy and tuition still goes up. Student loans have more then doubled in the past ten years from $44.6 billion to $94.5 billion. Student loan defaults peaked at 22% in 1992. Banard University held and experiment on private school loans. A drastic 73% drop in private loans due to one change by talking to a financial aid officer. A total of $1,559,365 from 98% students in private loans between 2005-2006. In 2006-2007 only 31% of students took out
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