Cost, Price, and Public Policy: Peering into the Higher Education Black Box

This report is intended to serve as a primer for policymakers, college leaders, and analysts about college costs (overall expenditure patterns) and prices (charges to students and other consumers). It includes a conceptual framework for analyzing costs and prices and evaluates the determinants of both. It also includes recommendations and observations about how to enhance understanding of cost and price structures, and help better inform decisions about public finance strategies for higher education.