Discussion about this post

User's avatar
Neal Hugh Hurwitz's avatar

We run a monthly Seminar on Politics out of Columbia U seminar history, 1965--- current...

Call me if you are intersected to be invited---

Next:

Tuesday, July 1 5:30PM we discuss AI.

TY, Neal Hugh Hurwitz

646 884 0594 NY NY

Michael A Alexander's avatar

I decided to estimate how much tuition has gone up at my school since 1977 when I matriculated. Using the unskilled wage index as deflator, in 2023 dollars, tuition for the 2023-24 year is $8455 per year, compared to $3890 in 1977. Thus, for a student trying to pay their way, college costs about 2.2 times what it did back then.

If I do the adjustment using per capita GDP as deflator the cost in 1977 was $6470, 23% less than today. This is the deflator one would use for high-income individuals, elite professionals, managers and administrators. Such people's incomes tend to rise with per capita GDP, as all wages did before 1980's but now mostly only those in the top decile. So even for affluent families, college is modestly more expensive today than it was then. It is only for those at the top that college is cheaper (relative to their income) today than it was back then.

11 more comments...

No posts

Ready for more?