Is College Worth The Cost? Essay

755 Words Nov 29th, 2015 4 Pages
I first decided to look at the main participants of this problem: students. I came across dozen of articles that explained the economical consequences students face with the higher levels of tuition. However, “Is College Worth the Cost” by New York University’s professor Andrew Caplin caught my attention. The author explains how higher tuition levels lead to less consumer spending that harms the economy. He begins with a survey of 1,500 college graduates after their first five years of college. According to Caplin, “college graduates with an average yearly income of 78,540 dollars only spend 21,733 dollars” (1). This shows an enormous fallout in consumer spending because higher tuition levels force individuals to spend less because of their increased payments on student loans. In addition, Caplin states that students aren’t allowed to default on student loans, so they are forced to cut back on consumer spending to manage their budget, which “causes a decrease of 43 percent in consumer spending since 2003” (2). Caplin argues that this decrease in consumer spending is a “multiplied effect in the economy that harms everyone, including the government and private firms” (3). Towards the end of his article, Caplin claims “if student loan borrowers continue to sit on the sidelines and delay financial commitments, the U.S economy will plod cautiously” (4). This article allowed me to clearly see how the main participants are hurt by higher levels of tuition. It allowed me to…

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