"Claiborne Pell died at age 90 on January 1, 2009. In the weeks that followed, the former Democratic senator from Rhode Island was lauded for his many achievements, but one stood out: The first sentence of Pell’s obituary in The New York Times cited 'the college grant program that bears his name.' Pell Grants are the quintessential progressive policy, dedicated to helping low-income students cross into the promised land of opportunity and higher education. 'That is a legacy,' said Joe Biden, 'that will live on for generations to come.'"
What the encomiums to Pell failed to mention is that his grants have been, in all the ways that matter most, a failure. As any parent can tell you, colleges are increasingly unaffordable. Students are borrowing at record levels and loan default rates are rising. More and more low-income students are getting priced out of higher education altogether. The numbers are stark: When Pell grants were named for the senator in 1980, a typical public four-year university cost $2,551 annually. Pell Grants provided $1,750, almost 70 percent of the total. Even private colleges cost only about $5,600 back then. Low-income students could matriculate with little fear of financial hardship, as Pell intended. Over the next three decades, Congress poured vast sums into the program, increasing annual funding from $2 billion to nearly $20 billion. Yet today, Pell Grants cover only 33 percent of the cost of attending a public university. Why? Because prices have increased nearly 500 percent since 1980. Average private college costs, meanwhile, rose to over $34,000 per year.
But the biggest problem with American higher education isn’t that too many students can’t afford to enroll. It’s that too many of the students who do enroll aren’t learning very much and aren’t earning degrees. For the average student, college isn’t nearly as good a deal as colleges would have us believe.