The Education Bubble By The Numbers

The Colorado University system plans on the following tuition hikes between 2011 and 2016. The only reason I pick on them is because they were honest about what they were doing and put it in the newspaper for us all to google on the Internet.

Academic Year Proposed Tuition Tuition Raised at 2.5%/Year Economic Rent
2011-12 $7,685 $7,685 $0
2012-13: $8,376 $8,073 $303
2013-14 $9,130 $8,275 $855
2014-15 $9,951 $8,482 $1,469
2015-16 $10,846 $8,694 $2,152

HT: The Boulder Daily Camera

The table rows are as follows. Academic Year represents the Fall and Spring Semester for which the proposed rates of tuition apply. Proposed Tuition represents the proposed full-time undergraduate semester tuition to attend UC. Tuition Raised at 2.5%/Year represents what the tuition would be if it were increased to match a hypothetical 2.5% Core Inflation Rate for the US economy. Economic Rent represents the differential between the rate of inflation and the increase in tuition. Parents of UC students, I leave it to you to decide if UC really adds that much value to their university system each year to justify the differences.

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