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December 18, 2011 09:00 pm GMT

Will Your College Survive?

collegeThe Internet will save higher education, but it may kill your alma materPeter Thiel believes smart people dont need college, and hes right: There have always been autodidacts who can learn without assistance. Of course, we dont really need supermarkets and restaurants either; we could all grow and cook our own food.Yet having professionals help us has always been a cost-benefit decision. What are the costs of a great education, including the opportunity cost of four years of work, and how do these costs balance against the impact of that education on your life?The Internet is the first technology since the printing press, which could lower the cost of a great education and, in doing so, make that cost-benefit analysis much easier for most students. It could allow American schools to service twice as many students as they do now, and in ways that are both effective and cost-effective. For reasons that will be outlined below, however, it will probably end up doing this with half as many schools. And your school, even if its bumper-sticker worthy, might not make the cut.

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