Depending on their talent, means, and ambitions, prospective students have a wide range of educational options. And despite headline-making Ivy League tuitions, most Americans attend low cost public or mainstream private schools where competition for students is both fierce and healthy. Indeed, this competitive pressure has had real consequences. Many of the rest have sought to restrain tuition by diverting more funds into financial aid, by reducing costs through better management, and by generating more non-tuition revenues through fundraising and sponsored research. And with tuition reductions from grants and scholarships, the amount paid by many students is well below sticker price.
Competition also works to improve quality at private institutions.
In recent years, many colleges and universities have concluded that they cannot compete successfully against tax-supported schools or one another on price alone. The only way to beat the competition is to offer a better product. Value means different things to different people. Foreign study opportunities. A proven track record placing graduates in good jobs.