The Economics of College

An article in the New York Times addresses the economic problems faced by the parents today for their children 's education . The colleges have become the highest paying business in modern world . The fees and other costs charged by the colleges are increasing day by day . When the current income can not pay such high amounts , the parents and the students borrow at high rates of interest

The economic policies formulated by the politicians hardly tend to target the most needy . The economic policies which can generate maximum popularity and interest among

the public are made . The politicians try to take advantage of such fancy policies just before the elections There is economic and financial inequality prevalent among all the nations . In many cases , the average taxpayer has lower income than the people on whom the government lavishes its financial favors . These poor tax payers make the Government so wealthy

The fundamental concept of economics can be applied everywhere . It says that there are limited resources to produce everything that everyone wants . There is always an opportunity cost which says that a thing which is produced is always at the cost of some other thing which could have been produced . For example , going to college involves incurring opportunity costs in the form of time , money and effort which could have been used to complete other things . The market prices are the mirrors which reflect the real costs of such used resources

When the Government subsidizes the prices of some resources...