In theory, supply will rise and demand will fall, and they will meet in equilibrium. In practice, nothing ever reaches an equilibrium. It's often not even close

In theory, supply will rise and demand will fall, and they will meet in equilibrium. In practice, nothing ever reaches an equilibrium. It's often not even close. Colleges are basically in the fashion industry, if you squint at their business models. Price can be a selling point, if it can be used as a way of signalling class or dedication, look at Gucci handbags and the Ivy League. It doesn't matter how little you can buy a handbag for, people still pay more for a top brand. I guess it might follow the fashion industry. A few boutique providers sell "high quality" goods, to people who want to pay extra for the label. Everyone else will try to drive costs to zero. I wonder how much business process outsourcing they will end up doing? Get ready to have your tutorial papers marked by someone in another timezone ...