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Transcript of Education
Tuition Rates are subject to provincial regulation
Controlling Tuition and Observed Enrollment Outcomes
SUPPLY AND DEMAND
The number of students a university can accept is determined by the schools revenue and the cost per student
Primary Source of Funding
May surprise you that Universities are NOT FOR PROFIT! The Government requires a mostly balanced budget.
Supply may be limited in areas such as buildings or trained staff
Youth must weigh the costs vs. benefits of attending University
Travel and living expenses
Income lost while studying
Parents can help out, but this depends on their financial status, # children in family and their preferences for the child's outcome
If universities are not allowed to increase tuition, they may not clear market!
This would result in more demand because more people could afford it!
Spots are rationed between students applying, based on:
Academic achievement (i.e. grades, awards)
All school, family and peer inputs over youth's life (i.e. Parental Income - extracurricular activities)
Individual motivation (i.e. expected benefits of study, such as opportunities for further study)
If tuition fees rise, the benefits of attending university fall, therefore reducing the motivation for university attendance and achievement in school
Coelli, M. (2009). Tuition fees and equality of university enrollment. Canadian Journal of Economics 42 (3):1072-99.
Increases in tuition results in decreased enrollment of lower income youth, but no difference is seen in youth who come from higher incomes
Is decreasing tuition a good strategy to obtain a equal distribution of enrollment?
Although this will appear to help the low income youth, it really only benefits the high income youth
The author of this article suggests a "selective assistance program" that will help those who require it and not help those who can already afford to go to school. Overall, this will decrease taxes for the general public
Government changes in funding can increase or decrease the # of places available
The number of students graduating at a given time determines the level of competition
Main data set utilized in this research is the Survey of Labour and Income Dynamics (SLID)
Different factors can affect university enrollment so a certain amount of care is required when interpreting data
In this Study:
Demand = the individual's decision to attend
Supply = the capacity of the institutions
SOCIAL CONFLICT THEORY
-Highlights division based inequality by investigating how factors such as social class, race, ethnicity, sex and age are linked to unequal distribution of money, power, education and social prestige
-Sociologists who embrace this theory attempt not to just understand society but to reduce social inequality
KEEP IN MIND!
Intro to the article
Supply & Demand Factors
Canadian Education system
Social Conflict Theory
Conclusion and Suggestions
Canadian Education System
Some provinces have initiated tuition freezes while tuition in other provinces have consistently risen
B.C. lifted their tuition freezes in 2002, as of 2009 (date of publication) Quebec has still not lifted their freeze
Many universities also provide scholarships and bursaries directly to students. This type of student financial support has increased since the mid 90’s as tuition fees have risen
Do you have an alternate solution?
Which of these costs/benefits influenced you?
The Issue at Hand
Tuition fee increases put youth from lower income families at risk
Does not necessarily effect the enrollment rates of youth from medium and high income families
Summary of research
Purpose: to estimate the relationship between tuition fee increases and post-secondary enrollment
Between 1993 and 2004 tuition fees have risen sharply in most provinces
Important to consider the perspective of the author
Social Conflict Approach
Do you think that it is fair for some provinces to freeze tuition fees while other provinces (such as Ontario) continue to increase tuition annually?
: In this article the conflict is between educational institutions and families of youth who are applying to post-secondary schools
: The classes presented in this article are low, middle, and high income families
: Tuition fees continue to rise and the current system doesn’t sufficiently support youth from low income families
: The system will only change if enough people are unhappy with the current situation.