Recently, two of the top three college textbook publishers announced plans to get into the textbook rental business. On its face this seems like a good deal for college students, but the real question is whether this heralds a beginning of cheaper textbook prices or is just another pricing stunt from an industry famous for stunting.

For years, the college textbook publisher business model has been consistent. Most of the revenues the publisher gets for a new edition comes in the first semester. Over the remaining life of that edition, competition and used books chew up an increasing amount of the market share and reduce the publisher revenues to a trickle. This is why publishers charge high prices for the books so they can be sure to recoup their expenses. From a student’s perspective, the average cost of that textbook is similar — almost all copies that first semester cost full retail price, with cheaper used books making up more of the volume in subsequent semesters. Used book dealers make their money after the first semester assuming they bet correctly on the books still being in demand. (Meaning, they buy back books they think will be in need again, and decline to buy back books that won't be used and longer.)

(See how the money gets divided in the secret behind textbook costs.)

In a textbook rental scenario, things change for everyone:

• Publishers get less money that first semester (reflecting the 40-70% of retail price floated by Cengage), but continue to get similar revenue levels in subsequent semesters because there are few if any used books. Their revenue curve, which before was extremely front-loaded, is now more level. In fact, the ongoing revenue potential could in some cases extend the hyper-accelerated revision cycle leaving the same edition in play for longer (further raising the profitability of that edition.) Sounds like a win for the publisher.
• Students get to spend less that first semester for their textbook, but in subsequent semesters can end up paying more since there are no more cheap used books. (This is especially true in cases where the student wants to keep the textbook, since in the absence of used books they are forced to purchase at full price.) Sounds like a loss for the student unless they’re in that first semester.
• Used book dealers really get screwed on this one, since their supply and market both dry up entirely. A resounding LOSS for them.

For years the used book market has been kicking the publishers' asses, revenue-wise. For a while they had some success with bundling the textbook with workbooks or CDs/DVDs, knowing that bookstores wouldn’t buy those back and forcing them to replenish their stocks from the publisher (at full price). Now, with rentals, it appears that they’ve hit on another tactic that could solve their problem.

How about the college student’s problem of higher textbook costs, though? It doesn’t seem like their expenses are getting a reduction… #FAIL

 

Hi,

 I have this problem that I am not able to solve because I do not know anything about mixtures.

  A car's radiotor contains 12 L of antifreeze at 25% concentration. How many liters must be drained and then replaced by pure antifreeze to bring the concentration to 50%?

 The answer is 4L but the book did not provide workings. Please show me the workings.

Thank you.

Can someone explain in detail the following formula?

(Gradient)*E=0 (without source or current)

Let the real money demand in the economy equal LD = 10 + 2Y – 8r. The price level P is fixed at P = 1. Y is the level of output and r is the rate of interest. What is the LM curve for this economy?

If you aren't into college yet and have time to plan ahead, here is some good information on the whole FAFSA process and how to minimize your EFC.

With thanks from the New Scientist website, here are ten great space stories of the past year:

1. Spooky deep space images recall Halloween at its finest.
2. Speculation that the "big bang" was really a "big bounce"
3. Life found in extreme conditions on Earth suggests where to look elsewhere in the Solar System
4. Phoenix lander finds water ice on Mars
5. New insights into what makes a planet habitable expands our search for extraterrestrial life
6. Scientists spot asteroid on collision course with Earth
7. Largest black hole discovered (so far)
8. Did Earth have other moons?
9. What new particle did physicists discover at the Tevatron?
10. What's so special about the Earth's cosmic neighborhood?

Enjoy!

Thanks to your votes for nominations and first round of voting, College-Cram is a finalist for this year's awards in the "How To" category. Mashable recognizes social networking websites in various categories in its annual awards competition. College-Cram is nominated as "How-To" since Mashable doesn't feature a "social learning" category (yet). In fact, College-Cram.com is the only social learning site in the Open Web Awards competition this year, and it will take the help of students on campuses around the world to put them over the top in the final round of voting.

Social learning is a mashup of social networking and educational resources. Many websites offer tools or frameworks that help students organize themselves, but a true social learning site also has actual academic help for students trying to pass their courses. College-Cram is a true social learning site. Rudy Lopes, (VP of Operations) said “Maybe if we win, next year they will add a social learning category. That would be a good thing.”

You can vote once per day for each email address you have. When you submit your vote you receive an emailed confirmation link to complete the vote. College-Cram.com made it easy to vote by pre-filling the form to the left - just add your email address and click submit.

If you are concerned about giving out your email addresses (and you should be), we voted last year and heard nary a peep back all year. This is administered by PollDaddy – the same folks who run polls for us from time to time. We trust them or we wouldn’t be asking you to participate.”

As they say, “Vote early and vote often!” Voting runs through December 14, 2008.

Auto Industry: Help! We need 25 Billion dollars right away, or we are going out of business.

Congress: Hold on here folks. You don't even have a plan. Think this through and get back to us.

Auto Industry: You were right. We need 34 Billion dollars right away, or we are going out of business.

Congress: That's more like it. Now, don't spend it all in one place. See you later.

The presidential election is over, but the Mashable 2nd Annual Open Web Awards voting is just starting. This is your chance to tell the world how you feel about College-Cram.com.

College-Cram.com has been nominated for Mashable’s Open Web awards. Our nomination is in the "How To" category. You can vote once per day for each email address you have – and I have several. They send you a confirmation link to complete the vote.

We made it easy to vote by pre-filling the form for you - just add your email address and submit the form below.

(Note: Voting is closed for this award.)

Mashable recognizes social websites in various categories each year. College-Cram is a social learning site - mashup of social networking and educational resources. (We nominated ourselves as "How-To" since they don't feature a "social learning" category.)

If you are concerned about giving out your email addresses (and you should be), I voted last year and heard nary a peep back all year. This is administered by PollDaddy – the same folks who run polls for us from time to time. We trust them or we wouldn’t be asking you to participate.

Thanks for your help. Vote early and vote often! Voting runs until December 15, 2008.

Mashable.com is hosting the 2nd annual Open Web Awards, and we'd like to see College-Cram.com nominated for the Niche Social Networking category. Go ahead and vote here to help us make the cut!

(BTW, there is also the How-To category we could qualify for, so please vote for that one too!)

Mashable Open Web Awards