A college education is many things to many people: a chance to expand the mind, gain employable skills, make the transition to adulthood, have a good time. But let’s abstract for a moment. Taking a college course in subject X is widely considered a way to:
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bring to me a certain level of competence in subject X, and
certify this level of competence by assigning me a grade.
So under this simple model, what is the best way to proceed? Some would call it unfortunate, but a great many courses, even at the best and most exclusive institutions in America, are taught with a minimum of interaction between student and professor. Giant lecture halls fill to the brim, teaching assistants do the grading, and students are largely left to their own devices. Some lecturers manage to make the most of this less than propitious set of circumstances, teaching excellent courses that involve and fascinate students. Others fail miserably.
So what of the best professors? If they can inspire a class of 500, why stop there? Why not 1000, 10,000, or even 1 million? There is no appreciable decrease in student interaction once the size of the class passes beyond a few hundred. If we want to bring down the cost of higher education, make it more broadly available, and increase its value-added, these lectures, the best of the best, should be disseminated as widely and cheaply as possible.
And it’s already starting to happen. Consider Academic Earth, a combination of RateYourProfessor and Youtube, that freely distributes college lectures from some of America’s best universities. If you want to learn multivariable calculus on your own time and your own terms from a top mathematician, provided you have an internet connection there is nothing stopping you. A traditional college education isn’t for everyone, and neither, for that matter, is a model based on limited interaction as outlined above. But why shouldn’t a new, open university be made available to those it would benefit?
The only remaining obstacle is certification. You can attend, via your internet connection, the same lecture as sophomores at Berkeley, but you don’t get a degree for your trouble. But why not? Here’s a radical idea: don’t sell instruction; sell certification.
What is to stop me from assembling, at private expense, a team of experts in, say medieval history, to design a top-notch syllabus, write and deliver a series of excellent video lectures, and devise rigorous examinations to measure student performance? Now suppose I were to give away all of the instructional content, charging only for the right to sit the final examination in a designated examination center (c.f. the way the ETS administers the GRE exam) and receive a grade. Students could prepare for the examination in any way they see fit: by watching the free video lectures, reading books, hiring a private tutor, or even attending a traditional college course in the subject. Provided my start-up could establish a reputation for rigorous testing I could have a very profitable venture on my hands. The marginal cost of administering and grading one more exam is very low indeed. The rest is pure profit. Even charging $200 per exam, I could corner the market on education.
So what’s the big hold-up? Why hasn’t someone tried this already? I suspect the main reason is that it’s difficult to establish a reputation in a setting as opaque and confusing as the market for higher education. But it shouldn’t be impossible. I could even poach the reputation of renowned institutions by employing their professors as consultants. If I were to pay Greg Mankiw $100,000 to design my introduction to economics course I’m sure he’d take the job, and I would need only 500 students at $200 per exam to cover the cost. My courses wouldn’t have the imprimatur of a renowned university, but they’d have the imprimatur of a top economist. Which is truly more valuable?
For now, this is, of course, only speculation. But if this whole grad school thing doesn’t work out, I may have a money-making opportunity on my hands.
Update: After running this past my bad idea filter, Charles, I think this actually is feasible, although Charles and I agree that the two aspects of the project (instruction and certification) should be separate. Otherwise, if I design a curriculum and give it away, someone else can simply swoop in, design an exam only and free-ride off of my instructional content.
It seems that there would even be a market for a great number of alternative exams on a given subject. As long as there was some way to measure the difficulty of the exams and accurately track their pass rates, employers could simply choose which exam to require as a condition of employment. Employees, on the other hand, would take the hardest exam they thought they could pass. In one fell swoop we have a mechanism for objectively measuring ability.