Peter Thiel is an ass.
Like Mark Cuban, who made his money selling a bogus proposition called Broadcast.com to Yahoo during the Internet bubble, Thiel is a guy who got lucky and thus thinks this makes him both a genius and your lord. (In his case he sold as the bubble popped, something I urged at A-Clue.com even before he did it.)
Thiel's latest nonsense is that higher education is the new bubble. Which is silly. Because American college education is the world's gold standard.
It costs billions to build just one Rice or Stanford. And you can't scale it. That's why the world's elite all has one goal for their kids – to get them through an American college. The French Ecoles, Britain's elite colleges, the trial-by-examination hotspots of Germany, China and India, none provide the opportunity even a Texas A&M in Kingsville does to a Third World elitist.
Now it's true there are anomalies. The education at Harvard isn't really better than that at Rice, not really much better than at the University of Texas. What sets it apart are the fact that admission tells someone they're smart, which is a continuing boost to self-confidence, and then there are the networking opportunities. The “Old Boys” network is real, America is not really a meritocracy.
Still, the value-for-money my son is getting at Georgia State University far exceeds what he would get at Rice right now, especially if he were paying full tuition (which admittedly hardly anyone does). A B.A., by itself, isn't worth what it was 35 years ago. Now it's just the price of admission. What matters isn't where you start but where you finish. The President didn't start at Harvard. He started at Occidental College in California.
If Peter Thiel wants to see a real bubble, of course, I got one for him.
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