Is free education really free?
According to the College Board, college costs in the United States are on getting higher. From the academic years 1999-2000 to 2009-2010, on average the published tuition and fees at public four-year colleges and universities increased by 4.9% each year above and beyond general inflation.
For the 2009-2010 academic year, published in-state tuition and fees at public four-year institutions soar to 6.5% from the previous academic year to $7,020. Tuition and fees for out-of-state students displayed a similar trend, increasing approximately 6.2% to $18,548.
With these statistics, it may be hard to believe that in some countries you can still be educated for free. Countries offering a free education include Sweden, Cuba, Brazil, Argentina, Norway, Finland, Chile and Denmark.
For something as valuable as higher education to be provided for free, the cost has to be recovered from somewhere. Here are some of the potential drawbacks of having a free education.
Other Costs
Some countries waive tuition, but have fees and other costs including books and materials, food, housing and transportation. For instance, in Ireland, tuition is free for undergraduate courses longer than two years, but average fees (registration, administrative, etc.) can be in the neighborhood of 1,500 euros.
In Argentina, many students have jobs, some full time, while attending college to finance their other expenses. The jobs may provide income and experience, but it can also make for a difficult balancing act between education and work.
Sweden, on the other hand, actually provides students with a monthly allowance to finance such costs.
High Taxes
When comparing tax rates by country (as calculated by total tax revenue as a percentage of GDP) it is no surprise that several of these countries are near the top of the list. In fact, Denmark, Sweden, Cuba, Finland and Norway are five of the top 10 countries.
For instance, in Sweden, tax revenue funds studies at the university level. Estimates place the top income tax rate in Sweden at approximately 57%. According to the Swedish National Agency for Higher Education, in 2008, the higher education institutions brought in approximately SEK 50.1 billion in revenue.
Quality of Education
According to the Times Higher Education – QS World University Rankings, Ireland is the only nation on this list with a school that ranks within the top 50 universities. Trinity College of Dublin was the highest ranking university from a country that provides tuition-free education; Trinity tied with Osaka University for the No. 43 spot on the annual list.
The top 16 spots are all held by schools in the United States and the United Kingdom, two of the most expensive countries when it comes to pursuing higher education.
Cost of Living
Oslo, Norway (home to the University of Oslo), has one of the world’s highest costs of living, with an estimated cost of living index of 152.85. New York City is the base of the index, so Norway has a CPI that is 52.85% higher than that of New York City. Copenhagen, Denmark, also ranks high with a CPI of 138.91, while Dublin, Ireland, and Helsinki, Finland, came in with CPIs of 120.79 and 113.91 respectively.
Bottom Line
The benefits of a free education are unquestionable, but there is no such thing as a free lunch. Having the burden of tuition removed, is a huge benefit, which may be offset by non-educational costs. Before heading abroad, remember to consider other costs to further your education.