My cowriter and I briefly discussed (verbally, not through some sort of electronic medium) how spending can be roughly modeled by looking at it from different perspectives – one of the key ones being “how old you are”. Enter today’s topic: spending per decade. Even though many pieces of advice are specific, it’s the concepts […]
Today please welcome guest poster Jason Hull, who will go over all of the details you need to answer that age-old question: should you quit work to go to graduate school? Should You Quit Work to Go to Graduate School? “A man who has never gone to school may steal from a freight car; but […]
Lost in all of the discussion about the $1 Trillion in student loan debt, there being more student loan debt than credit card debt, Occupiers asking for student loan forgiveness, and even whether certain concentrations should receive loans with higher interest rates is an important question: Is college worth it?
Last time I angered all of you by asking if certain majors should pay higher rates for their student loans. Now I ask you a subtly different question: Should some majors pay more in tuition? I ask you this question on the weekend, as it is lighter on math (for reasons that will be explained), and the fact that I’m likely highly biased, being a Software Engineer and all. Let’s not let that affect the daily editions of DQYDJ, okay?
As I mentioned in my last article, education is one of the categories where spending has increased the most over the last decades. However, it’s unclear if the product students are receiving is even worth the cost they have been paying. At issue: this article from the New York Times, heavily digested all over the internet. Setting aside the fact that our protagonist majored in Religious and Women’s studies, what is the value (in expected weekly salary) of a graduate or an undergraduate degree?
What’s grown faster than inflation the last 40 years? No, not medical expenses. What’s grown faster than that? You guessed it (from the title of this post) – education costs increased almost 1000% from 1978 to 2008, compared to about 300% in the generally price level as measured by consumer inflation. Yes, inflation is one of the categories of spending which is increasing at an off-the-chart-rate.