The government decides to try to increase the middle class by subsidizing things that middle class people have: If middle-class people go to college and own homes, then surely if more people go to college and own homes, we’ll have more middle-class people.
To the extent that individuals take full advantage of the opportunity to got to a reasonably decent college and in turn graduate from that college as high performers, they have a far better shot at becoming middle class if their situation prior to going to college was one whereby they would not have, without the subsidy, obtained a college degree. Quite simply college grads, in general earn more money over the course of their careers.
- Is college worth it?
- How Much More Money Do College Grads Make?
" According to the U.S. Census Bureau, the annual salary average differences between educational levels is staggering:
- High school drop outs: $18,734
- High school graduates: $27,915
- College grads (with a bachelor’s degree): $51,206
- Advanced degree holders: $74,602"
- Do College Grads Really Make More?
- How Much More Do College Graduates Earn Than Non-College Graduates?
"Let's look at some figures from the U.S. Bureau of Statistics in 2015 on median weekly earnings. For those with only a high school diploma, men earned $751 and women earned $578. With some college or an associate's degree, men earned $872 while women earned just $661. Men holding a bachelor's degree earned $1,249; with women, bachelor's degree holders bringing home $965. With a bachelor's degree or higher, men earned $1,385, with women earning $1049. Finally, men with an advanced degree earned $1,630 and women with an advanced degree earned $1,185."
Given the above, subsidizing college degrees makes sense as a means to increasing the population of folks who are middle class or higher in terms of earnings.
As for subsidizing home ownership, that seems like a specious means to boost the rolls of the middle classes and above. That is something that one does when one reaches middle class status; a home is not something that merely the having of it will make one able to be middle class.