Obama Administration Pushes Higher Educational Institutions to Reveal their Diminishing Value

The Obama administration is pushing for a change in the federal higher education policy. This change poses a new question: What are people getting for their money?

The alarming answers for college students:

  • Graduate, on average, more than $25,000 in debt
  • Graduate or transfer only about 40% at 2-year programs (according to College Measures)
  • Do not graduate about 40% at 4-year schools (according to College Measures)

And college students are not the only ones hurting. According to theĀ American Institutes for Research, college dropouts cost taxpayers hundreds of millions of dollars annually.

The federal government contributes $140 billion annually for federal grants and loans. Still, unemployment remains high. And college students’ literacy has declined in the last decade.

A commission during the George W. Bush administration said American higher education has become “increasingly risk-averse, at times self-satisfied, and unduly expensive.”

President Barack Obama agrees. He says post-secondary schools should be more honest about their diminishing value.

The cost of an education and the success of graduates are simply not adding up.

By Stephanie Benda