Thesis Statement: The constant tuition costs during the 1960s despite a significant increase in the number of college students suggest that the supply of higher education during that period was able to meet the growing demand. Conversely, the decrease in real tuition costs during the 1970s, when the Baby Bust generation emerged, indicates a decline in demand relative to supply.
Introduction: During the 1960s, despite a substantial increase in the number of college students as the Baby Boom generation came of age, real tuition costs remained relatively constant. This phenomenon raises questions about the supply of higher education during that period. On the other hand, in the 1970s, when the Baby Bust generation followed, real tuition costs actually decreased. This fact suggests that demand for higher education declined relative to supply. In this essay, we will explore the reasons behind these trends and the implications they have on the supply and demand dynamics of higher education during these decades.
Body:
Constant Tuition Costs During the 1960s:
Despite a significant increase in the number of college students, tuition costs remained relatively constant.
This suggests that the supply of higher education was able to meet the growing demand during this period.
The constant tuition costs may have been influenced by government policies and subsidies aimed at expanding access to higher education.
Additionally, the surge in demand for higher education during this time might have been anticipated and accommodated by colleges and universities, leading to a balanced equilibrium between supply and demand.
The availability of scholarships and grants could have also played a role in making college more affordable for the Baby Boom generation.
Decrease in Real Tuition Costs During the 1970s:
In contrast to the 1960s, real tuition costs fell during the 1970s when the Baby Bust generation emerged.
This implies that demand for higher education declined relative to supply during this period.
The smaller number of college-aged individuals resulted in decreased competition for admission, leading to a decrease in tuition costs.
Colleges and universities had to adjust their pricing strategies to attract students from a smaller pool, which contributed to the decrease in real tuition costs.
The declining demand may have also been influenced by economic conditions, such as high unemployment rates and a stagnant job market, which made pursuing higher education less attractive for individuals.
Conclusion:
The constant tuition costs during the 1960s despite a significant increase in college students suggest that the supply of higher education was able to meet the growing demand. This could be attributed to government policies, subsidies, and proactive planning by educational institutions. However, during the 1970s, when the Baby Bust generation followed, real tuition costs decreased, indicating a decline in demand relative to supply. Economic factors and a smaller pool of college-aged individuals likely contributed to this decrease in demand. The trends observed during these decades highlight the dynamic nature of supply and demand in higher education and how external factors can shape equilibrium price and quantity.
