Windy City Ag said:
Your 900K figure is not correct. You need to use an NPV for that and most statistical agencies peg that at anywhere from 250K to 350K.
And you can't really use that assumption anyway. Yourj analysis assumes these athlete's only two options are to play football for A&M and get that college education benefit or otherwise spend life earning high school grad wages. You have to be a real condescending a#$hole to think that is the state of the world.
Many of these guys could forego football, live at home and go to UofH or UTD at night and incur only half the costs of an 4 year A&M education including room and board.
And you totally exclude the potential earnings these kids could realize from working to pay for college with the time they would otherwise be practicing and playing football.
So a more realistic way of looking at it is that they get to play football and get the benefit of the 50K or so in costs they would have had to incur to live in College Station rather than try more efficient paths to get a college degree.
The average college degreed male makes 900,000 more than non degreed. Obviously this does not include statistical models for regression or discounted dollar. So let's take your number 350k + 100K. Since this thread is about opting out the last year, that's 450k for 3 years.
Some students drop out and make more and others less. There is this thing called an average. All you need to know is that it's a bunch of numbers and fancy math. Most of the models you refer to factor in the drop out rate. Big words saying its already in your 350k.
From your comparison of cost with uofh, do you believe a degree from a&m is equal? You know the degree from a&m cost more, maybe it's worth more? You should run a regression and let us all know. Kinda curious.
Not sure why you want to compare a student working to pay for college versus the football player on scholarship. For every dollar the student makes and spends on college is a dollar making that scholarship worth more.
I do assume that scholarships open the door to college for students who either do not normaly qualify or have the financial means to go to college. In this case, the scholarship is worth more than 50k. Without it, college is probably not an option. Isn't that the whole song and dance why scholarships are good?