Question

There are some who say that California Community Colleges should go ahead and raise student fees from $46 per unit to $500 per unit? Today a typical economics class costs $138 ($46 x 3 units) and under this new proposal a typical economics class would cost $1,500 ($500 x 3 units). Why would this proposal probably backfire and become a disaster for full-time community college students who normally take three or four classes per semester?

Answer 1

This is the complete question

A.) Since student incomes and other financial resources are limited, the demand curve for a community college education is elastic. Raising tuition will force students to drop out.B)The community college would lose so many students that their total revenue would most likely drop dramatically. C)Students living in low-income and economically challenged areas might not be will-ing to take out student loans or use credit cards to finance their education. D)All of the statements listed above are correct

Answer:

All of the options are correct

Explanation:

All of the answers in the multiple choice question are correct. The reason is because, when tuition fees are raised for students, there would be quite a number who would drop out due to their inability to pay. The demand is elastic. A rise in tuition fees causes a drop in number of college students. This would hereby cause enrollment rates to fall and further bringing about a decline in revenue. Taking loans would not be a good idea since we have students with low income who would have problems with with paying back. With all of these the the proposal to increase fees would backfire.