$90 Billion Available in Student Financial Aid,
with Scholarship Growth Outpacing Loan Growth

Trends in College Pricing 2002

College Pricing Averages 2002 - 2003 vs. 2001 - 2002²

The College Board's data show the following increases in college tuition and fees:

• At 4-year private institutions, tuition and fees average $18,273
  ($1,001 more than last year's $17,272 - a 5.8% increase);



• At 4-year public institutions, tuition and fees average $4,081
  ($356 more than last year's $3,725 - a 9.6% increase);



• At 2-year private institutions, tuition and fees average $9,890
  ($690 more than last year's $9,200 - a 7.5 % increase); and



• At 2-year public institutions, tuition and fees average $1,735
  ($127 more than last year's $1,608 - a 7.9 % increase).

Room and Board Averages 2002 - 2003 vs. 2001 - 2002

• At 4-year private colleges, room and board average $6,779
  ($300 more than last year's $6,479 - a 4.6% increase);



• At 4-year public colleges, room and board average $5,582
  ($316 more than last year's $5,266 - a 6.0% increase);



• At 2-year private colleges, room and board average $5,327
  ($82 more than last year's $5,245 - a 1.6% increase); and



• For 2-year public institutions, there was not a sufficient sample size to achieve statistical significance on this calculation.

In the report Trends in College Pricing, the College Board reports tuition and fee data for the 2002 - 2003 academic year. The report shows a 9.6 percent increase in tuition and fees at four-year public colleges -- the largest increase in a decade. However, the cost of attendance at public four-year institutions, which also factors in room and board, went up somewhat less than 7.5 percent (see Exhibit 1).

Though the average increases at public institutions seem steep, the average dollar amount of the tuition increase is $356 for four-year public institutions and $127 for two-year public institutions.

According to Caperton, the tuition and fee increases at public institutions can likely be linked to their dependence on a shrinking tax revenue base. "As tax revenues decline, public colleges have searched for other sources of funding and for many, that has led to tuition increases," said Caperton. "But despite this year's increases, public colleges and universities are still a remarkable value."

Despite the rising tuition and fees, Caperton stressed that over the last decade, tuition growth at four-year colleges and universities was less than 40 percent, after adjusting for changes in consumer prices - much lower than the increase of about 60 percent during the preceding decade (see Exhibit 2).

2 - Trends in College Pricing 2002 is based on data collected in the College Board's Annual Survey of Colleges, 2002-2003.

Back to top