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My guess is that the increases in college costs are coming from for-profit universities and other "value" adds (student housing, etc...). Inflation adjusted tu
by omgwtfbyobbq 10y ago
My guess is that the increases in college costs are coming from for-profit universities and other "value" adds (student housing, etc...).
Inflation adjusted tuition costs in the UC system have apparently dropped by 40% or so since 1960 (~$2200 now compared to ~$3700 in 1960s dollars). Granted, the tuition costs for students have increased substantially, since the state used to cover most of it, but the total cost has still dropped a fair bit.
http://ucpay.globl.org/funding_vs_fees.php http://ucpay.globl.org/funding_vs_fees.php
I wouldn't be surprised to see the same in healthcare. An outpatient CTA at a local hospital is something like $3500+ through my insurance, but the cash price at a local radiology clinic is $550.
Don't even get me started with housing. The markups are ridiculous in some places, although not in all places.
If I had to guess, I'd say that at least some of these examples of cost-disease are really symptoms of excesses that weren't as common in the past and market/regulatory capture.