The United States has a dropout crisis. Sixty percent of people go to college these days, but just half of the college students graduate with a bachelor’s degree. Some people earn a shorter, two-year associate’s degree. But more than a quarter of those who start college drop out with no credential.

Despite the rising cost of education, a college degree is one of the best investments that a young person can make. In 2015, median earnings among workers aged 22 to 27 with a bachelor’s degree were $43,000, compared with $25,000 for those with just a high school diploma. Over a lifetime, a person with a bachelor’s degree typically earns $800,000 more than someone who has completed only high school, even after netting out tuition costs.

The financial prospects for college dropouts are poor, for two reasons. First, dropouts earn little more than people with no college education. Second, many dropouts have taken on student loans, and with their low wages, they have difficulty paying off even small balances. Dropouts account for much of the increase in financial distress among student borrowers since the Great Recession.....

.....A new program at the City University of New York offers many of the supports that college-educated parents typically provide: intensive advising, a subway pass, textbooks and money to cover any shortfall between costs and financial aid. The CUNY program doubled the three-year graduation rate and also increased the proportion of students who went on from a two-year community college to a four-year institution. The program is now being replicated at colleges in Ohio.

At the federal level, the Obama administration last month introduced two new initiatives to encourage students to move quickly toward their degrees. It takes six years for the typical student to finish a bachelor’s degree, and those two extra years of college lead to higher tuition costs and more student debt. Part of the problem is that the federal aid system defines as “full time” a level of effort (12 credits a semester) that can’t possibly get a student out the door in four years.....

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