So given the return on education is the present value of the (average household income – high school income), discounted to inflation over an average 35 year period…the calculation would be:
PV Return on Education: PMT=(100K-85k), I=2%, n=35
PV Return on Education: $ 374,979.29
Average Total Price of Attendance of Undergraduate Education, full time, full year: $22,368 per year (http://www.census.gov/compendia/statab/cats/education.html)
PV of cost of education: PMT=$22,368,n=4,i=2%
PV of cost of education: $85,171.28
Expected Total Net Present Value of Education: $289,808.01 (per household)
My curiosity would be if the expected total net present value to education correlated to enrolment figures in any way…?
a life (still) under construction... 
So given the return on education is the present value of the (average household income – high school income), discounted to inflation over an average 35 year period…the calculation would be:
PV Return on Education: PMT=(100K-85k), I=2%, n=35
PV Return on Education: $ 374,979.29
Average Total Price of Attendance of Undergraduate Education, full time, full year: $22,368 per year (http://www.census.gov/compendia/statab/cats/education.html)
PV of cost of education: PMT=$22,368,n=4,i=2%
PV of cost of education: $85,171.28
Expected Total Net Present Value of Education: $289,808.01 (per household)
My curiosity would be if the expected total net present value to education correlated to enrolment figures in any way…?
Ben — great calculations! Here is an article from Economist that looks into the economics of higher education and its potential ROI:
http://www.economist.com/news/united-states/21600131-too-many-degrees-are-waste-money-return-higher-education-would-be-much-better