Does a College’s Acceptance Rate Matter?

Students and parents often fixate on the admission rate for a college as an indicator of the school’s education quality. But does the admission rate really matter?

Over the past decade, the college admission process has evolved into a multifaceted and often perplexing journey. Families often seek a shortcut to identify a college or university that offers the kind of education that leads to a rewarding career. In 2002, the average student applied to four colleges. In 2017, that number rose to seven. Based on the experience at College Inside Track, that number has increased since 2017. This application surge means more qualified students are vying for each school, thereby lowering college acceptance rates.

Recently, elite universities have seen a decrease in acceptance rates, primarily due to the surge in applications after most dropped the ACT/SAT testing requirements. Holistic and test-optional policies encouraged many students to apply to competitive schools. While this spike affected college acceptance rates overall, the trend is more noticeable in the most elite universities. The universities already considered the hardest colleges to get into became statistically more difficult in terms of admissions rate.

Often, a school will become popular for something unrelated to the quality of education, which will affect the school’s acceptance rates. This is called the “Flutie effect” after former Boston College and pro football player Doug Flutie. His performance while playing football for Boston College increased the school’s popularity and boosted the number of applications by 30% despite having nothing to do with the quality of education. More recently, the University of Colorado, Boulder, has seen a 20% increase in applications since Deion Sanders became the football coach in 2022. Other schools have also experienced this phenomenon. Location, tuition, and other factors also influence college popularity. Many students want to go to a school in an urban area or others to one with a “rah-rah” vibe. Again, these factors do not indicate the school’s quality of education.

It’s crucial to remember that selectivity isn’t everything, and it cannot be correlated with the quality of the education each student will receive at a university. Could an elite school with a low acceptance rate be a perfect fit for a student? Absolutely. If it is, the student should consider applying. However, the key takeaway is that acceptance rates are not definitive indicators of education quality and that application trends and external factors can significantly influence these rates.

There is more to college than prestige. Of the 20 CEOs of the nation’s biggest companies by revenue, only one attended an Ivy League university. Fourteen of these top 20 CEOs attended public colleges. Studies have shown that the college attended made no difference (Dale & Krueger; Ho & Ye). Attending an elite school with a low acceptance rate did not result in an income advantage over attending a less elite school in the short or long term. The difference in income for the average graduate of a low-acceptance college compared to that of a college with a higher acceptance rate resulted from what the student already had before entering college, not anything that happened in college.

While many elite universities have acceptance rates below 10%, a low acceptance rate does not automatically translate into higher quality education, nor does it have much to do with success after college. For instance, large universities will typically have higher acceptance rates but may rank highly on other metrics. As you evaluate university acceptance rates, remember that these numbers don’t tell the whole story. A low acceptance rate might mean a more competitive and potentially stressful academic environment, while a higher acceptance rate could indicate a more inclusive and diverse student body.

Acceptance rates have also been criticized for how US News & World Reports uses them. Critics say rankings have incentivized institutions to encourage more unqualified students to apply, increasing selectivity and the school’s rankings. Schools, such as Harvard, the University of Chicago, and others, use their marketing budgets to flood students with glossy materials that make them believe they can be admitted, only to reject them, decreasing their acceptance rate and moving them up in the rankings.

So, what factors should a student consider when applying to colleges?

Academic interests
Make sure the colleges offer the classes and the degree programs you need. This will help you make the best choices for your college career.

Social Fit
Make sure the social atmosphere at the school fits your preferences. This will help you be happier and more productive during your college years.

Location
In some cases, targeting colleges in your home state can be far more affordable, which can be a significant factor for some students.

Financial Consideration:
Ensure that the schools you apply to are within your family’s budget. Many schools award merit aid in addition to need-based financial aid. However, some schools, particularly the “elite” schools with low admission rates, do not award merit aid and only give financial assistance to students with financial needs as determined by the school.