MSN has an article that reports on the findings of a new study about whether a college degree from elite universities really pay off in terms of better future earnings. Basically, the team of economists who conducted the study say that in most cases, the answer is, no. However, the article notes that there is still plenty of debate about this question:

Krueger and Dale claimed that, in most cases, the higher earnings piled up by graduates of elite schools were attributable to elite individuals, not their college education. In other words, if you’re smart enough to get into Princeton, you’re smart enough to make a lot of money wherever you go to school. . . .

Plenty of experts, for instance, think Krueger and Dale are flat-out wrong. . . . Ehrenberg, along with Dominic J. Brewer and Eric Eide of the Rand Corp., published a study of this issue in 1996 and found that, “even after controlling for selection effects, there is strong evidence of significant economic return to attending an elite private institution, and some evidence that this premium has increased over time.” . . .

To address this [selection factor], Krueger and Dale looked not just at the earnings of elite-college graduates, but also at the earnings of those accepted at elite colleges who chose to attend a less-selective institution. They found that both groups of students earned about the same. To Krueger and Dale, where you applied (rather than where you matriculated) is the best predictor of future earnings.

That’s pretty interesting to consider. The article also seems to suggest that those who live in a state with a top-tier public university system (i.e., CA, WI, MI, or VA) probably get the best deal if they get their college degree from these top public schools. So I suppose I made a pretty good choice getting my BA from U.C. Irvine. Would that also apply to my Ph.D. from SUNY Albany? I’m not so sure.

But the more pressing question will probably be, where should my daughter go to college once she’s ready in about 12 years. Twelve years?!? Wow, I didn’t know it was THAT soon. Wherever she goes, I need to start saving now!