Most Americans Think College Prices Are Unfair

Few Americans say college degrees are priced fairly these days, a new study shows, and the increasing cost of attendance continues to keep many high school graduates from continuing their education.

Only 18% of Americans who haven't earned a degree say that four-year colleges charge fair prices, according to the annual State of Higher Education Study released this week by Gallup and Lumina, a higher education nonprofit foundation. Fifty-nine percent of respondents said prices at four-year colleges were not fair, while 22% responded they were unsure.

Respondents had a slightly less grim view of community colleges, however, with 40% stating that two-year colleges are priced fairly.

Lumina’s vice president of impact and planning, Courtney Brown, says that the findings underscore “a growing frustration with the affordability of higher education.”

“This isn’t just a perception issue,” she adds. “It reflects real challenges students and families face when trying to finance a degree.”

The annual study, which launched during the pandemic, surveyed over 14,000 U.S. adults with at least a high-school diploma or equivalent this year. Most respondents had some college experience — being either currently or previously enrolled — and about 3,000 had never enrolled in a higher education program. None of them held a degree when the survey was fielded in October 2024.

College costs are a core barrier

Over the past couple decades, college costs have soared, far outpacing inflation and wage gains, according to a Money analysis of wage and college cost data from the Departments of Labor and Education.

Since 2000, for instance, sticker price of tuition, room and board at four-year institutions has spiked 140%, while community college costs jumped 125%. Overall inflation during that same period rose 76%, and wages for all workers (including degree holders) increased 83%.

Because of these trends, “too many people feel priced out of the opportunities that higher education provides,” Brown says.

Separate Gallup and Lumina surveys in recent years consistently show college costs as the top reason Americans aren’t pursuing (or completing) a higher education program. At the same time, the groups’ most recent survey shows that most Americans do see college as a pathway to a better-paying job and future, with a majority saying they believe a college degree pays off within five to 10 years.

And the earnings data backs that up. A February study from Georgetown University analyzed median incomes for attendees of 4,600 different institutions, finding that the typical student had a return on investment of $174,000 after 10 years (and $1.5 million after 40 years).

Getting to that point can be a leap of faith. In the minds of potential college students, it’s a constant cost-benefit analysis.

“The public isn’t questioning whether higher education matters, but rather whether they can afford it,” Brown says. “That distinction is critical.”

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