The Michigan Education Trust: A Political Economy Perspective

Touted as cutting-edge public policy, the MET program is found to be a flawed political promise that might have to be bailed out by state taxpayers. Parents who want to save for their children's education have better options in the private marketplace. Subsequent events led Governor Engler to scrap the program. 25 pages.

Contents

• I. Introduction
• II. The National Trend Away From College Prepaid Tuition
  • A. College Savings Bond Programs
• III. Security And Simplicity
  • A. Purpose of MET
  • B. An Overview of The Assumptions
    • 1. Investment Results
    • 2. Enrollment And Tuition Costs
    • 3. Inter-generational Transfers
• IV. The Consequences Of MET
  • A. Income Distribution And MET
  • B. University Independence And MET
• V. Recommendations
• VI. Summary
• Appendix 1 - THE ECONOMICS OF MET: A PRESENT VALUE ANALYSIS
• Appendix 2
• Endnotes
• About the Author