The $7,376 "Ivies": Value-Designed Models in Undergraduate Education

Abstract:

Is it possible to get an "Ivy" education for $7,376 a year? Can a college provide high-quality undergraduate education at a reasonable cost? In this paper, I explore if cost can be reduced and quality improved through the use of new "value-designed" models of undergraduate education. A value-designed model allows you to appeal to customers seeking the greatest value. These are the students - or perhaps more often, their parents - who are looking for a high-quality product at a relatively low price. To be able to charge a relatively low price, a college must have either a large subsidy from public or private sources or low costs. In this paper, I focus on the cost side of providing a high-quality education.