Wednesday, May 7, 2014

The economics behind college decisions

So I never have time to publish here, and the original purpose of this blog was to find and highlight local Provo cuisine, but I am currently taking an economics class at BYU and wanted to share my thoughts on a recent story published by the Wall Street Journal. Yesterday, The WSJ published a story on how elite colleges don't necessarily make for a happy and self-fullfilled life down the road. Here is my take on the economic side of things:


Douglas Berkin’s article led me to think about the economics behind a student’s decision in deciding where to study. Most students make their education decisions based on a perceived “Return on Investment”: Where can this degree take me? What kind of salary can I make with a degree from this university? With this new information from Gallup, it seems that an elite school is not necessary to be successful, thriving, and engaged in a career.


The survey suggests that professor-student mentoring, and not the college itself, makes the difference in determining the overall well-being of new professionals. This makes a diploma from any college or university a competitor and substitute for a degree from an elite college. Although the author did not mention it specifically, this brings up the economic principle of supply and demand. According to the Law of Supply and Demand, the price of goods will adjust to bring the quantity supplied and the quantity demanded into balance. Looking strictly at the market for “education from elite colleges,” the demand for education from an elite college will decrease because an equal substitute can be found at a cheaper price at other schools. Graphically, this is represented in a shift of the demand curve to the left.


The implications of this devaluation of elite education are that tuition prices can be expected to fall at Ivy-League schools to meet consumer demand. In the long run, we can expect to see fewer admissions into these schools as the quantity demanded will also decrease. In the market for “education from state and local colleges,” we can expect an upward shift in the demand curve, increasing tuition prices and number of admissions at these schools.

In conclusion, this new study shows that happiness in a career is not determined by whether or not you went to Yale or Harvard. Students who realize that they can achieve equal life satisfaction at half the cost are more likely to attend state or local colleges. If an ivy-league degree is on the same level as a state or local degree, they can be considered substitutes, and an increase in the price of one will increase the demand for the other. For the price-conscientious student working his or her way through school, a state college or trade school is an excellent way to achieve lasting self-fulfillment. Although Douglas Berkin did not directly address the economic principles and implications of a perceived devaluation of elite education, the new information most certainly will cause a shift in prices in the near future.

-S

Saturday, December 14, 2013

Let's start with Banana Leaf. My fiance and I ate there yesterday. Banana Leaf is a restaurant owned by a man from Sri Lanka. They serve food from Singapore and Sri Lanka. The name of the restaurant comes from the fact that the meal is served on a banana leaf. We started off with an appetizer which was a bowl of papadam: fried seasoned dough made from black gram (urad flour). These chips were served with spicy sambols and sweet chutney. It had an orangey-mango taste to it and was refreshing. Then came the main course. Sri lankan style yellow chicken coconut curry served with basmati rice and soft, garlic/parmesan roti paratha flatbread. The flatbread was so good! Kind of like a flaky, buttery tortilla. The curry had a nice taste to it, but then again I love anything with a coconut base. It came with a side of malay beef and chili chicken. Both were delicious. To finish off the meal we had dessert: Wattalapam. The only thing I can compare this too is a mixture of flan and bread pudding, made with raisins. It was sweet, but not overly so. Overall my experience at Banana Leaf was positive. The restaurant, like many in the Provo-Orem area, was built out of an old home, so it has a unique feel to it. The decorations all come from Sri Lanka. Afterwards, we got to speak with the owner and he told us a little bit about his story and how he ended up in Utah. I would definitely say that Banana Leaf is a hidden gem here in Provo, and this "hole in the wall" is worth checking out!
Let me introduce myself. My name is Scott. I am a student at Brigham Young University and live in Provo, Utah. I was born on the east coast in North Carolina, but was raised in the greater Atlanta area. This is where I call home. Since I began living out here in Provo, I noticed the eclectic dining scene here. I love good food, and love having a unique experience when I go out to eat. There are several diverse individually owned restaurants here in Provo, so this gave my fiance and I the idea to start a blog documenting our experiences in these "holes in the wall". I will update the blog with my reviews of each restaurant that we encounter, to show the dining world the gem we have here in Provo.