Education is an investment and just like any investments, some have good returns while others don't have. Moreover, the greater the investment, the bigger the returns are. But how much does each major exactly cost?
A new study, called "The Costs of and Net Returns to College Major," estimated how much it costs to educate a student on different majors. The researchers got their data from the University of Florida system. From their study, an engineering major is the most costly while a business major is the cheapest.
In their estimate, engineering cost around $62,000 which include all administrative costs, miscellaneous fees, facility fees, and salaries of professors. Meanwhile, a business major will have to spend $31,000.
The main reason why engineering costs twice as much as the lowest-cost degree are because of the cost of personnel is higher. Moreover, those who get an engineering degree have to pay more for indirect sources, such as student services, library fees, and financial aid.
Despite the high cost, those who finish an engineering degree also yields higher returns. The paper estimated that an engineer earns and additional $111,500 by age 45. The cost they spent is already deducted from the average earnings they have.
Along with engineering, the top 4 most expensive degrees include physical science which costs $54,000; health costs $49,000; biology costs $47,000; and art, math, and education ties on the fourth place which cost at $43,000.
Meanwhile, the degrees that have the highest returns include computer science which yields $104,000; business which yields $78,200; and health with $60,400 in profit. Philosophy and art, on the other hand, have the highest deficits among all other degrees.
With the findings, the study suggests that tuition fees should be set based on the potential value of the degree. Then, it would be much fairer to students and families who are already struggling with the high tuition fees.
