Do The Advantages of College Still Exceed Costs?

Introduction 

In the contemporary society, college education has been vital to enable an individual to secure employment opportunities. According to research, the number of individuals who enrol in colleges has risen rapidly over the last 10 years. Consequently, this has been propagated by the introduction of student loans which has encouraged more students to get enrolled in college institutions. Moreover, many employers prefer to employ individual who have gone through colleges. None the less, the college education is still high, however, from a microeconomic viewpoint; its advantages exceed the overall cost. 

Costs in College Institution 

Generally, the average cost of colleges on an annual base consist of approximately $17000 at a public institution four an average four year course and $ 40,000 at a private college (Jaison, Deitz, & Yaqin Su, 2014).This is inclusive of benefits that students gets in the institutions to pay after including benefits such as the scholarships as well as other tuition assistance. According to statics given by the National Centre for Education Statistics, the average tuition fees in colleges alone approximates to about $29,000 in a private college and in a public college it amounts to about $ 8,000. However, this figure is not similar in all institutions and it varies over years and months. Subsequently, the student loan bodies are obliged to give an average of $37,172 to an undergraduate student by the time they graduate. 

Advantages of College Education which outweigh the cost 

Lifetime Earning 

To begin with, college education is significant as it secures a lifetime earnings for an individual (Lisa, & Rouse, 2005). In comparison to individuals who did not secure college education, the college graduates have a higher percent of securing a job as compared to the other. According to recent statistics, a significant education wage gap has increased over the few years. For example, in America, it was established that around 25 to around 35 individuals with college education made $ 17,500 more as compared to other individuals who had not received the college education (Jaison, Deitz, & Yaqin Su, 2014). This is because the graduates were able to deliver accordingly to their specialization which in turn increased the productivity and demands for the goods and services. The increase in demands results in the organization they are working with to make more profit which in turn resulted in them receiving an increment their wages and salaries. None the less, individuals with high school education only are unable to spot such opportunities or deliver quality work due to lack of skills and knowledge. Hence, they are paid accordingly to their efforts which make their returns to be less as compared to the graduates. Hence we can concur with the fact that college education secures a lifetime earning opportunity. 

Moreover, college gives an individual the chance to exploit on a particular field and get ideas which would otherwise remain unexplored (Jaison, Deitz, & Yaqin Su, 2014). As a result an individual is able to become an expertise in specific fields which secures them steady income over the years. For example, through college education many inventions have been made which have needed revolutionized throughout the time. In this case, the individuals who invented them have still continued to reap the benefits of these inventions and as such this has secured their earnings. 

Opportunity Cost 

Most important to note, college fee is an opportunity cost which is explored in order to safeguard a good future (Jaison, Deitz, & Yaqin Su, 2014). In spite of the fact that attending a college encompasses a lot of expenses which include having to cater for the ever increasing college fees and other expenses, it becomes a small fact when opportunity cost is put into consideration. Evidently, by investing in college education, individual chances of getting a highly paid job increases. This makes it possible for the individuals to recover the money they had spent in the tuition fee. In addition, if they had received student’s loans, they are able to pay the money over the years as only a small portion of it is deducted in their overall earnings. On the hands, people who choose not t enrol in the colleges have a reduced chance of getting employment opportunities. They may use the money which they would have paid college fees and start their businesses but without relevant knowledge their business may fail due to increased competition in the market. In this regards it is evident that the college fees is an opportunity cost which is factored but brings favourable rewards. 

College Majors 

Also, college gives individuals the ability to major in specific areas such as maths, medicines or pharmacy, just to name but a few (Lisa, & Rouse, 2005). Statistics have revealed that an individual’s major has the potential to increase one’s wages. For example, students who major in engineering have a 21% chance to increase their wages as compared to those in the field of liberal arts whose percentage is 11 % (Jaison, Deitz, & Yaqin Su, 2014). However, the tuition fee for the two differs considerably with those taking engineering paying fees than the latter. None the less despite this fact, these students are able to recover the money they get when they are employed. As such, it is evident that the college fee they pay is no match to benefits which they stand to gain upon completion. 

Lastly, college education is significant because it enables people to discover their potentials and limits (Lisa, & Rouse, 2005). This is a factor that is mostly downplayed but comparing an individual who has gone through college and one who did not, there is a big contrast between them. This is because going to colleges enables them to meet with other people from all parts of the world which make them to broaden their perspectives. Through the interaction they are able to learn different about different culture and develop ways of handling these peoples. This increases their knowledge significantly and they develop the ability to identify gaps in other regions as well as theirs. Subsequently, this increases their intelligence level and they are able to think critically and creatively which is an important aspect that aids one to thrive in a competitive market. 

Moreover, college provides a platform for networking with different kinds of people who are expertise in their fields. As such, they are able to get mentors who guide them through the markets and show them ways through which they can penetrate in their fields and succeed. The college is able to organise for events and workshops which make it easy for the students to get a direct interaction with such people. None the less, this would be difficult in a case whereby a student desired to meet such people on their own. This is mainly because some of these individuals are busy and seeing them would require booking an appointment and having a genuine reason to see them. As such, the process would end up taking a lot of time which is saved in the colleges. 

In addition, the inspiration that they give cannot be compared to the cost of the college as it enables one to identify the right path for their career (Lisa, & Rouse, 2005). The chances for them to spot an opportunity in the market are also high due to connection that they make with this people. In comparison to individuals who forego the college education, their chances for this kind of networking is minimal and or limited to luck. In this case, therefore, the ability for them to land a lucrative job opportunity and secure it is limited. Therefore, one cannot consider the cost of enrolling in these institutions with the advantages that are associated with it. 

Contrast 

Nevertheless, there are individuals who felt that the rising cost of these institutions has outweighed the benefits which are associated with it. According to them, the level of employment in the current market has declined significantly with only a few graduates being able to secure jobs. According to them, a lot of resources are used to pay for the education and there are no guarantees of their returns. Moreover, for those who get student loans, if they land a job that is not well paying they end up wasting a lot of time paying the loans instead of developing themselves (Jaison, Deitz, & Yaqin Su, 2014). This makes them to endure sufferings for a long period and live in poverty despite the fact that they received the education. As such, individuals feel that the college cost to some extent outweighs its advantages. None the less, if they put other factors into consideration it is evident that their case is not justified. 

Conclusion 

In conclusion, college education requires a huge sum which is more than some people can afford. However, its benefits outweigh the costs that are charged in the colleges which make people to thrive to get the education. Moreover with benefits such as scholarships, tuition benefits and ability for students to be granted student loans, the burden of education is lessened. The students are able to explore their potentials, network with individuals as well as have the ability to think critically and creatively. The percentage to secure jobs and earn more is increased and hence this gives them an upper hand over those who did not enrol in college. 

References 

Lisa, B., and Rouse, E., (2005). “Does College Still Pay?” The Economist’s Voice 2(4), pp. 1– 8. 

Jaison, R, A, Deitz, R, and Yaqin Su, (2014). “Are Recent College Graduates Finding Good Jobs?” Federal Reserve Bank of New York Current Issues in Economics and Finance 20, no. 1: 1-8.