Understanding the Economics of College Education

What is the average cost of attendance for a public 4-year college?

• $40,000 per year

• $20,000 per year

• $10,000 per year

• $30,000 per year

What is the primary reason selective colleges offer substantial financial aid?

• To attract more students

• To increase their endowment

• To ensure finances do not hinder potential

• To compete with other colleges

What is the average lifetime earning difference between a bachelor's degree holder and a high school diploma holder?

• $1.5 million

• $1 million

• $500,000

• $2 million

Which factor is NOT mentioned as affecting the cost vs. benefit equation of college?

• Persistence in graduating

• Choice of extracurricular activities

• Choice of major

• Choice of college

What is the 'sticker price' of college?

• The cost of textbooks

• The listed cost before financial aid

• The cost of room and board only

• The actual cost after financial aid

What is a major?

• A type of financial aid

• A type of scholarship

• A specialization in studies

• A college entrance exam

What is the main economic benefit of completing a 4-year degree?

• Access to exclusive scholarships

• Higher lifetime earnings

• Immediate job placement

• Lower student loan interest rates

What is the average cost of attendance for a private 4-year college?

• $50,000 per year

• $20,000 per year

• $30,000 per year

• $40,000 per year

What is the main argument against going to college immediately after high school?

• Increased student loan debt

• Limited career options

• Lack of financial aid

• Loss of potential earnings

What percentage of Stanford students graduate with an average of only $15,000 in total federal loan debt?

• 95%

• 90%

• 85%

• 100%