Simplifying College Pricing Information: Easier Said Than Done
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Giving students and parents targeted information about colleges' pricing and outcomes is a worthy goal that could improve their decision-making about higher education, the Center for American Progress says in a report released today. But the federal government's process for developing its "College Scorecard" has fallen well short in practice, says the report, which offers a slew of recommendations for how the government could rework the document, particularly with advice from actual consumers. Among the report's findings are that the government should: test ways of communicating the concept of “net price”; emphasize four-year graduation rates, not six-year rates, if further testing confirms that the shorter time-frame is more relevant to students’ decision-making; and develop alternative measures of student debt that matter to students if further testing confirms that traditional measures such as repayment rate or default rate are not meaningful to students.