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The Rising Cost of Tuition: The Problem That Won’t Go Away

July 30th, 2007 by Student Loan Tax

Congressional Democrats want you to believe that they really want to help students reduce the cost of a college education. Maybe they do, but if you look at their actions, nothing they’ve done so far reflects that.

The cost of tuition has increased by 86 percent (adjusted for inflation) since 1991-92. Why? Good question. Colleges and universities aren’t saying, and no one is really addressing that issue, least of all, the Congress. Unfortunately, the cost of college tuition is the primary component of the amount a student must borrow. Congress just doesn’t want to deal with the real issue.

What’s worse is that evidence now suggests that increases in Federal financial aid will only push college tuition even higher. Economist Richard Vedder shows in his report entitled The Real Cost of Federal Aid to Higher Education shows that the more money a student receives for college, the higher the tuition rate will climb. Why? Simple economics dictate that the more someone can pay for something, the higher its price will increase. Providers, in this case, higher education institutions, want to maximize their dollars. When students can spend more freely on education, colleges and universities will raise tuition. Dumping even more aid into the system will only raise tuition more. Rome is burning, and Congress is doing nothing to stop it.

It is crucial for Congress to stop the spiraling increases in tuition costs. If Congress wants to reduce the cost of a college education, it needs to fight the fire at its source. Student loan lenders are like fire hoses in this battle. Instead of concentrating on the source of the problem, Congressional Democrats are wasting time and money getting mad at the fire hoses for not being able to put out the fire. This childish approach, which helps no one and accomplishes nothing, ends up costing taxpayers and students more money. Every semester that goes by without definitive action by Congress only makes the problem worse.

The Congressional Democrats have yet to explain their reluctance to tackle the real issue. Call, write or email your representatives in Congress now. Ask them when they plan to address the real issue of the cost of a college education and find out why they’re so reluctant to act. Remember, it’s the cost of the tuition, not the interest rate on the student loan, that makes the biggest impact on the money a student owes when he or she leaves college.

Tell your representatives to stop sitting on their hands and start addressing the real problem: the uncontrolled rise in the cost of college tuition.

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Posted in Student Loan Tax, Campaign News, Student Loans, College Funding, College Student Relief Act |

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