DeVos Makes Case for Alternatives to 4-Year College

WASHINGTON—Education Secretary Betsy DeVos told a gathering of finance executives that more students should have access to career pathways other than a bachelor’s degree and that more companies should be willing to hire people with alternative credentials.

“For students going forward, giving a lot more information about what they’re buying is of critical importance,” Mrs. DeVos said. “I think there are too many young people starting a traditional college degree without any idea about what they want to pursue.”

https://www.wsj.com/articles/devos-makes-case-for-alternatives-to-4-year-college-11560282935

ED NPRM announcement

Today, ED announced imminent NPRM for accreditor oversight and distance learning regulatory re-write. NPRM to be released later this week.
Full announcement can be accessed at;

https://www.ed.gov/news/press-releases/secretary-devos-advances-higher-education-reform-forged-historic-consensus?utm_content=&utm_medium=email&utm_name=&utm_source=govdelivery&utm_term=

 

College Education ROI

College Education ROI- Part Two

The ‘Return On Investment’ of a college education continues to come under question as school COAs increase and rising student loan debt issues are debated.  Some questions being asked include;

– What resources, and what kind of resources, should be made available to finance           post-secondary education?

– Who should have access?  Should there be a means test?

– Should they be subsidized? By who?  How much?

Recent research* (part two) provides substantial data to support the premise that  positive, measurable wage improvement exists for college educated individuals vs. those with only a high school diploma.  “As with any investment, the costs and benefits of college accrue over different time intervals, making it a bit tricky for students and their parents to judge the economic value of a degree,” the report says. “Indeed, for the typical college student, the costs of college result in a negative cash flow while in school (assumed to be four years for a bachelor’s degree), followed by a positive cash flow (the college wage premium) received over one’s entire career. In order to weigh the up-front costs against the lifetime benefits, we calculate the internal rate of return — a measure investors commonly use to gauge the profitability of different kinds of investments.”

Join the debate.

*Full report can be accessed at:

https://libertystreeteconomics.newyorkfed.org/2019/06/despite-rising-costs-college-is-still-a-good-investment.html

She Left the Education Dept. for Groups It Curbed. Now She’s Back, With Plans.

WASHINGTON — Depending on whom you ask, Diane Auer Jones has returned to the Education Department with either a mission or a vengeance.

A little more than a decade ago she resigned as an assistant secretary for postsecondary education in the George W. Bush administration, after protesting the department’s treatment of an accreditor that oversaw religiously affiliated, liberal-arts colleges. Department officials saw accountability in their crackdown; Ms. Jones saw bias against a gatekeeper for nontraditional college degrees.

“Favored accreditors are treated differently than unfavored accreditors,” she said in an interview. “That was my awakening to how the current system could be manipulated to pick winners and losers.”

Now, as the chief architect of Education Secretary Betsy DeVos’s higher education agenda, Ms. Jones is leading the charge to overhaul the accreditation system, and, to critics, revive the fortunes of for-profit organizations that operate low-quality education programs that have a track record of shortchanging students and taxpayers.

Majority of Americans would take on debt to cover their kid’s college, survey says

While the cost of higher education Opens a New Window. can certainly be expensive, results of a study released Tuesday unveiled just how many parents would go into debt for it on behalf of their kids.

A survey from Country Financial showed that more than half of Americans polled – 56 percent – were open to fronting the bill for college and taking on debt as a result, according to a news release Opens a New Window. that detailed the survey results.

“The survey found that 56 percent of Americans would voluntarily go into debt to pay for their child’s college education, with the average person willing to take on $31K in debt,” the company said.

https://www.foxbusiness.com/features/majority-of-americans-would-take-on-debt-to-cover-their-kids-college-survey-says