Higher Education Financing

Have been meaning to respond to Obama’s proposals for containing costs in higher education; the issues are incredibly complex, as there are different mechanisms driving cost pressures in the community college market, public/private non-profit university markets, and for-profit university markets. Unfortunately, I kind of missed the boat on responding, and lots of people have already said everything that needs to be said; Dylan Matthews at Wonkblog has a wonderful summary of the various drivers of cost and reasons that it’s not straightforward to address them.

To get a size of the magnitude of the problem, see below:

To drive that point home further, Mike Konczal has a rundown of issues that might prevent Obama’s proposed interventions from effectively holding down costs in the higher education sector.

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