The May 2010 issue of Career Education Review offered an article by Daniel de Vise that suggests “that for-profit colleges do a better job educating students than community colleges, even while serving a more at-risk population, and does so at a comparable sum of money.” This study was commissioned by Corinthian Colleges and was conducted by the Parthenon Group which has also conducted educational research for the New York City and Chicago public school systems.

The study relied on data that was produced by the U.S. Department of Education to reach the following conclusions:

“1. For-profit colleges are adding capacity at a rate of six percent [annually]…compared with a one-percent annual growth rate among two-year public institutions, whose growth is hindered by dwindling state funds.

2. For-profit colleges serve a larger proportion of high-risk students (meaning at risk of dropping out) than community colleges. Fifty-four percent of for-profit students meet three or more “risk factors” as defined by the federal government, including parenthood, delayed employment and lack of a high school diploma. Thirty-six percent of community college students are considered at high risk.

3. For-profits have, arguably, a higher success rate than community colleges. Sixty-nine percent of students surveyed by the federal government attained the degree or certificate they sought or transferred elsewhere within five years of enrollment in a for-profit college. The comparable rate at community colleges is 62 percent.

4. For-profit colleges receive $26,700 in funding on average, for every student who completes study or transfers. Community colleges receive $23,500 per student… [and]…for-profits receive most of their funding in tuition and fees paid by students whereas community colleges get most of their funding from state and local governments.

5. For-profits students earn $14,700, on average, when they begin their studies, and see an income boost of $7,900 or 54 percent when they leave. Community college students earn an average of $20,300 when they start and see a boost of $7,300, or 36 percent, when they finish.

6. For-profit students are less likely than community college students to report that they were surprised by how much they owed at the end of their studies. More than half of for-profit students report they were told how much they would have to borrow by their institution…By comparison, about 40 percent of community college students said their institution provided information on debt.”

We are not surprised by the findings of this study. We are especially encouraged that this article originated with a member of the mainstream media (the Washington Post newspaper). The results of this survey are certainly a source of pride for the for-profit sector.

Think about it.

Ref: COMMISSION FOR INDEPENDENT EDUCATION
STAFF NEWS Volume X, NO. 1 as of 7-6-2010