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Increased fees affecting demand for University degrees



CJA 1 / 1  
Oct 15, 2013   #1
Demand is the quantity of a good or service which consumers are willing and able to purchase at a given price within a given time period. Demand is met with supply for the consumer and the supplier to have an agreement on the price of a given product (Equilibrium).

The demand for university degrees are being affected due to the increased fees which students have to summate. Increased fees are happening because of the government and their plans to make the economy more satisfying for 'everyone'. Tuition fees first started at £1000 a year. University students were able and willing to pay for this amount. After years had passed, inflation was rising so consumers weren't willing to pay for certain products. This affects the university degrees as the circular flow of income (towards the government) started to deplete. This provoked the government to raise tuition fees from £1000 to £9000. Nine times the affect had put off the university students so this concluded to some students not being able to do their degrees. Some students are able to pay for such an amount but for other students, they may no have the funds or requirements to do so. Some students would have no choice but to take the next best alternative (Opportunity Cost) so that they don't end up in a place that doesn't suit them. An example is Apprenticeship - some students would rather look into a trained programme which matches the applicants. Although the university student(s) lost out on continuing, that person gained a reward of apprenticeship. The demand for university degrees will keep on lowering if the value of tuition fees keeps on rising. This will eventually have a negative reputation on the universities - many students try to do their degree however if they're not given the chance to show of their skills because of the increased fees then many students would not attend such universities.

leoking 7 / 24  
Oct 15, 2013   #2
maybe you can explain opportunity cost in the beginning make easier to follow
dumi 1 / 6793  
Oct 15, 2013   #3
Increased fees are happening because of the government and their plans to make the economy more satisfying for 'everyone'.

Increased fees are a result of government actions and plans towards driving the economy towards a more satisfying one for everybody.

After years had passed, inflation was rising so consumers weren't willing to pay for certain products.

However, after some years had passed, inflation kept rising making consumers uncomfortable with paying paying for certain goods and services.

This provoked the government to raise tuition fees from £1000 to £9000.

This situation demanded to the government to raise tuition fees from £1000 to £9000.
Pahan 1 / 1824  
Oct 15, 2013   #4
Nine times the affecteffect had put off the university students so this concluded to some students not being able to do their degrees.

Cost becoming nine times higher had given rise to a situation that many students may have to give up their degrees without completing.

Some students are able to pay for such an amount but for other students, they may no have the funds or requirements to do so.

.... I feel this is a repetition of the previous idea.
Although there may be some students who are able to afford such high school fees, there are many others who struggle to find financing for their education.
OP CJA 1 / 1  
Oct 22, 2013   #5
Thank you very much for helping me - I understand my errors now :)


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