Tuesday, December 10, 2013
Your main point is quite valid. They can't possibly really understand college costs for the typical student, based on their personal educational histories.
LMGTFY: Both have been in politics since age 26, that is, for most of their adult life. Parents are, respectively, a managing partner in a law firm and a cardiologist so not exactly median income (middle class). One has a degree from Williams followed by UConn Law, the other a BA in philosophy from Pomona College, so there is a good chance they could do percentage problems on the SAT.
However, that elite college background suggests that they do see skyrocketing costs in the tuition rates where they went to school, now each at about 58 grand a year. Hard to afford that for their respective two kids on a Senator's salary.
When I worked at Big American Company (you've heard of it), salary raises were initially done by percentage. There was an uproar when the formula was tweaked so raises were discussed instead in terms of dollar amounts.
The salary issue doesn't arise at my university. 0% and $0 are the same raise across the board for everyone.
Tuition raises are discussed on a percentage basis. Once when I estimated future tuition rates for a grant proposal, the research office assumed that the tuition estimates must have been wrong because the numbers became so big (i.e. the power of compound interest, but on the cost side).
Nice concise post about the risks of percentages. Hopefully the message gets through.
from a recent article in The New Yorker, which also shows the education levels across the boundary to the lower middle class. FYI, the FPL ranges from $15,510 for a family of two to $23,550 for a family of four under the current guidelines.
As you might now guess, this graph includes the effect of indirect taxes such as the loss of benefits tied to income and the EIC, costs that are just as important as paying higher marginal income tax rates while no longer paying FICA taxes and also discourage economic growth in the US.
If your tuition keeps going up, but you have a sane default rate, congrats. You are providing value for money. If you have a huge default rate but aren't trying to gouge your students, perhaps you are a victim of circumstance.
But if you have both, you are a damned con artist and can do without federal assistance in perpetuating your con.
Protip: if Dantes unambiguously endorses your post, reconsider your premise.