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"How did this happen?" — because the market will bear it. High sticker price + financial aid for 65% of students just makes it easier for a college to price discriminate, which is overall a good thing. And as the article points out, most students don't pay anywhere near as much as a Vanderbilt full tuition, so in a sense it really doesn't matter. The article does a good job of explaining this.

I got boned by financial aid at MIT for a variety of complex reasons and had to pay full sticker price. I ended up taking two gap years and working and saving all my money to spend on tuition. During the school years I did contract work and in the summers I did highly paid tech internships. I ended up graduating in 7 semesters, of which I personally paid tuition+room for 3 of them, my parents paid for 3, and my grandparents paid for 1. I covered all my living expenses. As my Dad often reminds me, I am extremely lucky to have grown up knowing I could go ask them for help if I ever ran out of money or got into trouble.

I'm torn about whether or not it was worth it — I'm very happy with my life now, but getting told "oh sorry computer says no, now pay twice as much" still rankles.



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You can't say the market is bearing it when the college market is being sustained by government-backed funding via student loans. If the market were really bearing it, government's involvement would be minimal to non-existent.

The people paying $100k are not doing so via government-backed student loans.

I don't understand this. When Harvard or CalTech says that anyone admitted will not be turned away due to financial hardship, it's because the loans are issued with a qualification based on their admission. 100k or any other price, the current financing structure remains the same.

I believe Harvard also guarantees some students (from families below a certain income level) don't need to take out loans.

They guarantee that for students from families making about $120K or less, which is to say nearly two-thirds of the country.

True, but what percent of their admitted class?

At Caltech, students from families making $90K or below, will receive a no loan financial aid package (package will consist of grants and work-study).[0]

[0] https://www.admissions.caltech.edu/afford


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