Sunday, July 26, 2015

I'm In the Wrong Business, Part 927: The $400 College Textbook Is Here

What a sweet racket.

From Professor Perry who, during the Great Nastiness of aught-eight, I took to calling 'The Happy Economist' because of his then-relentless optimism:

The new era of the $400 college textbook, which is part of the unsustainable higher education bubble
A new milestone must have been established recently – we’re now officially in a new era of the $400 new college textbook and the $300 used college textbook, see graphic above showing the top 15 most expensive textbooks at the University of Michigan-Flint based on a new unpublished report by Matthew Wolverton, an electronic resource management librarian at the Thompson Library (UM-Flint’s library). The graphic below shows the shows the most expensive college textbooks by discipline at UM-Flint, based on the average price of new textbooks for each discipline in winter 2015 semester.
For business students taking five classes per semester and paying an average of $250 per textbook, their textbook bill would be $2,500 per year and $10,000 over four years! Of course, those students would be taking courses in non-business disciplines where the average textbook price is lower, but even at an average price of $200 per new textbook, students could be facing costs as high as $8,000 over four years. And even though renting textbooks is a less expensive option compared to purchasing books, rental costs per semester are running above $200 per new book and well above $100 per used textbook (and as high as $180), see top graphic above. Even if students could rent used textbooks for all of their college classes at $100 per course (which is probably on the low side), that would still amount to $1,000 per year (for ten classes) and $4,000 over four years (for 40 classes)....MORE