What stocks have had a 52-week low?
tastytrade logo
male student and loan debt

Jun 2, 2022

Has College Gotten Too Affluent?

By:Josh Fabian

There’s a legitimate debate to be had with respect to the necessity of a college education. On the one hand, you have a more traditional view that kids should go to college. On the other side of the debate are people who cite people like Bill Gates or Mark Zuckerberg, neither of whom graduated college before launching incredibly successful businesses. There are also countless examples of people who may not have needed a college education for their respective profession, but instead needed a trade school or apprenticeship. However, the debate over college is more nuanced and arguably the most important nuance is in the cost of college.

Since 1990, the cost of a college education, adjusted for inflation, has increased 130%. And while it’s understandable and acceptable for costs to increase along with inflation, the quality of an undergraduate education has arguably not changed much and in many instances, the costs of supplying that education have come down with advances in remote learning.

If we want to get serious about the cost of college, we need to start with equating the cost to expected earnings after graduating. We cannot charge a future teacher the same amount we charge a future doctor or lawyer. We have the data available to understand future earnings potential and the cost of education should align with that. Or we need to start offering GI Bill-style opportunities in professions that rest at the foundation of our future as a nation. Teachers, a doctor in a remote town of Alaska, nurses. Those are the people who spend their lives giving back and improving our communities. People doing those jobs are every bit as important as our military. The very least we can do is help get them the education they need.

We can debate the necessity of college. We can argue over what is learned as an undergrad student. Those are debates worth having. But having that debate and not at the same time taking into consideration the associated costs relative to their respective value is an incomplete debate.

Options involve risk and are not suitable for all investors. Please read Characteristics and Risks of Standardized Options before deciding to invest in options.

Related Posts

tastytrade content is provided solely by tastytrade, Inc. (“tastytrade”) and is for informational and educational purposes only. It is not, nor is it intended to be, trading or investment advice or a recommendation that any security, futures contract, transaction or investment strategy is suitable for any person. Trading securities can involve high risk and the loss of any funds invested. tastytrade, through its content, financial programming or otherwise, does not provide investment or financial advice or make investment recommendations. Investment information provided may not be appropriate for all investors, and is provided without respect to individual investor financial sophistication, financial situation, investing time horizon or risk tolerance. tastytrade is not in the business of transacting securities trades, nor does it direct client commodity accounts or give commodity trading advice tailored to any particular client’s situation or investment objectives. Supporting documentation for any claims (including claims made on behalf of options programs), comparison, statistics, or other technical data, if applicable, will be supplied upon request. tastytrade is not a licensed financial advisor, registered investment advisor, or a registered broker-dealer. Options, futures and futures options are not suitable for all investors. Prior to trading securities products, please read the Characteristics and Risks of Standardized Options and the Risk Disclosure for Futures and Options found on 

tastytrade is a trademark/servicemark owned by tastytrade.

tastyworks, Inc. ("tastyworks") is a registered broker-dealer and member of FINRA, NFA and SIPC. tastyworks offers self-directed brokerage accounts to its customers. tastyworks does not give financial or trading advice nor does it make investment recommendations. You alone are responsible for making your investment and trading decisions and for evaluating the merits and risks associated with the use of tastyworks’ systems, services or products. tastyworks is a wholly owned subsidiary of tastytrade, Inc (“tastytrade”).

tastyworks, Inc. (“tastyworks”) has entered into a Marketing Agreement with tastytrade (“Marketing Agent”) whereby tastyworks pays compensation to Marketing Agent to recommend tastyworks’ brokerage services. The existence of this Marketing Agreement should not be deemed as an endorsement or recommendation of Marketing Agent by tastyworks. tastytrade is the parent company of tastyworks. tastyworks and Marketing Agent are separate entities with their own products and services. tastytrade has different privacy policies than tastyworks.

Quiet Foundation, Inc. (“Quiet Foundation”) is a wholly-owned subsidiary of tastytrade The information on is intended for U.S. residents only. All investing involves the risk of loss. Past performance is not a guarantee of future results. Quiet Foundation does not make suitability determinations, nor does it make investment recommendations. You alone are responsible for making your investment and trading decisions and for evaluating the merits and risks associated with the use of Quiet Foundation’s systems, services or products.

© copyright 2013 – 2022 tastytrade. All Rights Reserved. Applicable portions of the Terms of use on apply. Reproduction, adaptation, distribution, public display, exhibition for profit, or storage in any electronic storage media in whole or in part is prohibited under penalty of law, provided that you may download tastytrade’s podcasts as necessary to view for personal use.