Amazing gap on return on investment between public and private schools
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imho this is a little misleading. Considering most private schools can offer more in the way of grants, etc. to students to bring their costs more in line with the publics (essentially shifting all those pink dots over towards the blue diamonds) then the ROI between the two likely isn't all that much different. Unless of course you go to Harvey Mudd, the outlier at the top right.
I wonder where state related universities fit?
Does this only factor in money, or does it factor in intangibles? Think about the fun return we got on our investment by spending 4 years at PSU. Think about the years of sports success we get to enjoy, along with our great salaries. Contrast that with Pitt, 4 years trying not to get mugged, no nightlife, and nothing but years of agony as a Pitt sports fan. Not bonding with your fellow alum because you love your school, but bonding because you both hate the better school up the road. No amount of money in the world could make that worth it.
Does this only factor in money, or does it factor in intangibles? Think about the fun return we got on our investment by spending 4 years at PSU. Think about the years of sports success we get to enjoy, along with our great salaries. Contrast that with Pitt, 4 years trying not to get mugged, no nightlife, and nothing but years of agony as a Pitt sports fan. Not bonding with your fellow alum because you love your school, but bonding because you both hate the better school up the road. No amount of money in the world could make that worth it.
Even in the worst case (bottom right hand corner)
the ROI is > $2.00.
Of course, that chart only selects a relative handful of schools, and it's at an aggregate level. Would be interesting to see break-outs by field of study, as well as numbers for an entire array of schools.
the ROI is > $2.00.
Of course, that chart only selects a relative handful of schools, and it's at an aggregate level. Would be interesting to see break-outs by field of study, as well as numbers for an entire array of schools.
I never could figure out what the value proposition was with private.....
...universities (assuming no scholarship, and had to pay for it).
...universities (assuming no scholarship, and had to pay for it).
Likewise, the costs of public schools are partially subsidized by the state. So the difference between a $20k public school and a $40k private school can often be $20k in tax payer subsidies. The "true" cost of college, when you factor in grants/scholarships offered by privates and subsidies offered by publics, is probably somewhere in the middle.
Of couse, the big reveal here, is that when you ignore the costs - there doesn't appear to be a real overall benefit of public vs private until you get down to the individual school level.
Something to show your 16 year old children when they start researching which schools to apply to.
Yep. And ESPECIALLY for undergrad. Private schools probably....
...add a bit more value when it comes to advanced (masters, PhDs) degrees, but I just don't see the value wrt undergraduate degrees.
...add a bit more value when it comes to advanced (masters, PhDs) degrees, but I just don't see the value wrt undergraduate degrees.
Re: while conclusoins can't be drawn from the data
I had friends who went to a 5 year engineering program at a private school... that isn't known for engineering. One of them routinely rubbed in my face that he was going to a private school. I just never got it. He was spending double what I spent a year, for an extra year, and turns out he needed an extra semester... for a degree that was not ranked nearly as high as a PSU engineering degree. It wasn't long that I was making double what he was and had no college debt. But hey... he went to a private school!
I had friends who went to a 5 year engineering program at a private school... that isn't known for engineering. One of them routinely rubbed in my face that he was going to a private school. I just never got it. He was spending double what I spent a year, for an extra year, and turns out he needed an extra semester... for a degree that was not ranked nearly as high as a PSU engineering degree. It wasn't long that I was making double what he was and had no college debt. But hey... he went to a private school!
big assumption (no scholarship), as many do receive money making the cost
the same or less than a public institution. Besides, really for most if they can afford to pay, they have enough money, the difference in cost is not a deciding factor. As a generalization, public vs private, come down to size, many people could/would get lost a large public institution. Right now if you have the need, you can go to Harvard or Davidson for free, and need even take out a loan!!
the same or less than a public institution. Besides, really for most if they can afford to pay, they have enough money, the difference in cost is not a deciding factor. As a generalization, public vs private, come down to size, many people could/would get lost a large public institution. Right now if you have the need, you can go to Harvard or Davidson for free, and need even take out a loan!!
Just one caveat -- "cost of education" is misleading. Sticker price is not actual price. One of our daughters went to Penn, and one went to Penn State, and after financial aid, Penn State was the more expensive school.
But the basic point is sound. Paying more doesn't get you a better education. Especially at the undergrad level, the curriculums are similar, everybody gets access to the same material, and the faculty is going to be qualified whether it's a state school or an expensive private school.
Our kid who went to Penn -- she was studying in the No. 1 rated program in the country in her field, and she would be the first to tell you that people she meets in her profession who graduated from low-ranked state school programs got the same basic coursework and are just as qualified and skilled as the Penn grads.
And really, after the first or second job, the school on the resume hardly even matters other than as a potential conversation starter.
But the basic point is sound. Paying more doesn't get you a better education. Especially at the undergrad level, the curriculums are similar, everybody gets access to the same material, and the faculty is going to be qualified whether it's a state school or an expensive private school.
Our kid who went to Penn -- she was studying in the No. 1 rated program in the country in her field, and she would be the first to tell you that people she meets in her profession who graduated from low-ranked state school programs got the same basic coursework and are just as qualified and skilled as the Penn grads.
And really, after the first or second job, the school on the resume hardly even matters other than as a potential conversation starter.
