First of all, this sentence:
As we’ve reported before, colleges are increasingly directing their aid to wealthier families—who need it least—in a bid to increase revenue and raise their prestige (though it doesn’t necessarily fetch smarter students).
The world over has an ingrained prejudice toward ‘the wealthy,’ and so privilege and ‘prestige’ are thrust upon them by the entire system around them, compounding their advantage. Of course, those who watch Fox News will find ways to justify these facts evident in the every day life around us, but, if it didn’t exist, then George W. Bush would never have been president. FACT.
Secondly, this paragraph:
Schools in the West don’t need to offer as much financial aid because their tuition doesn’t cost as much, says S&P. “This is likely due to strong competition with public universities there, which offer significantly lower tuition levels for in-state students,” S&P wrote. “If students can attend a state university with similar or better-quality education than private university choices for a much lower cost, many families are encouraging this option.”
DUHHHHH!!!!! You mean when the private universities have to compete with an excellent and low cost state funded education system, it drives down costs at the private schools??? Well, isn’t this, indeed, the argument made during the ‘healthcare’ debate? That we should have a public option for those that wanted the option of Medicare?
One hears all the time that the reason why American healthcare costs are twice those of the next most expensive system is due to government interference. This despite the fact that there is a whole lot more government interference in the much less expensive healthcare systems, which also, by the way, have better outcomes. But here we have an example where the Medicare of education – ie the state university system in California – is keeping prices honest in the private system. For healthcare, we have to look at what the better European systems DON’T have that the US healthcare system DOES have . . . they don’t have bankers – aka very well paid health insurance executives sitting between doctor and patient . . . and the single payer refuses to pay monopoly prices to manufacturers of hip replacement parts, for example. That is, the buyer has some bargaining power, unlike the US system where the individual buyers have almost no bargaining power and no information on how prices are determined.
[VIA Max Keiser]