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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?


To: benwood who wrote (51153)1/24/2006 12:57:36 PM
From: GST  Read Replies (1) | Respond to of 110194
 
Universities are also covering a higher percentage of their costs via tuition as state schools see their funding from government cut. Elite schools are also charging a premium for "in demand" professional programs. The idea here is to force people to look at tuition as an investment with an ROI. Higher tuition allocates a scarce resource with a market value. A national survey of MBA salaries last week put starting salaries at an average of $106,000 last year and expected to pop another ten percent this year. This is not coming down any time soon. People without education will acquire a new title in society: The working poor.



To: benwood who wrote (51153)1/24/2006 2:05:54 PM
From: bond_bubble  Respond to of 110194
 
In my opinion the problem in infrastructure is of low priority. Meaning, let's say the govt does lot of investing in Universities so that the students pay 75% less fees.
but The bigger problem is that
1)Prof salary is lower than a computer programmer. What do you think he will do? Quit the job and go to industry.
2) There will be no research grants coming in as all industries have moved abroad. In other words, prof wont be able to make much money in R&D.
3) Students after study dont make much money either as all available jobs are in Walmart and McD!!!

This is the consequence of printing money!! The structural problem has seeped in!! Govt can invest to make sure students pay lesser and lesser fee (like 1 prof teaching 50-100 students) and at the end of it, the student doesnt get a job that gives security and good pay. The prof might get little more salary as he teaches 100 students, but he will have no time for R&D etc. I think there is a deep stuctural problem rather than investment problem. Congress seems to be insisting more money to be given to colleges, but I'm not sure that is the solution....