If You Subsidize Tuition, You Encourage Increases

Conservative economists have pointed out for some time that as long as the government continues to provide greater subsidies and access to retirement funds to pay for college, there is no incentive for colleges and universities to reign in costs and therefore tuition. This year the number of schools charging $50,000 has doubled, proving that these economists are correct. It may seem counter-intuitive but it allows the markets to function. Until we reduce these subsidies, universities will have no reason to get their financial house in order. There is simply no reason for the price of tuition to rise 2x the rate of inflation except for increased subsides and access to funds. Reign those in and we will start to see tuition that represents the market price.

$50,000: The number of colleges in the region that charge that much or more for tuition, room and board, and mandatory fees is expected to go up 100%.