Subsidy for Education
Subsidy for Education: A well-educated nation provides highly skilled citizens to its citizens who go ahead to add much value to the economy. It is, therefore, critical that college education remain affordable and competitive as well. Enrollment into the colleges has drastically increased, and it is approximated that over 20 million students enroll every year (Snyder & Dillow, 2012). According to The Department of Education, in conjunction with the Department of Treasury indicates that 73% of all enrollments are done in public colleges.
……………………..Middle of paper………………………..
In this regard, the economics of subsidy must be applied to shift the demand and supply equation in a manner that ensures optimal college enrollment given the resources available. This will ensure that the economy educates as many people as it can. In addition to this, expansion subsidies should also be offered to college institutions to ensure the limited available resources are increased to support the increasing demand of college education. Subsidies are, therefore, crucial in ensuring high literacy level as well as reduce social-economical disparities.
Acemoglu, D., & Autor, D. (2010). Skills, Tasks and Technologies: Implications for Employment and Earnings. Handbook of Labor Economics, 4.