L.A. universities top economic mobility rankings in California

California State University, Los Angeles ranks first in California for improving the economic status of low and moderate-income students, according to a new study. The California Mobility Index – created by the HEA Group and College Futures Foundation – shows CSU campuses are nine of the top 10 schools most effective at boosting economic mobility in the state.

The index evaluates 82 four-year California colleges and universities based on their ability to elevate the socioeconomic standing of students from households earning $75,000 or less annually. CSU campuses dominate the rankings, with Cal State L.A. leading the list, followed by other CSU institutions occupying most of the top positions.  CSU Dominguez Hills is second and CSU San Bernardino is sixth. 

“The institutions topping the list are intentional about social mobility and the impact they have on the community,” said Berenecea Johnson Eanes, president of Cal State L.A.

The strong performance of CSU campuses comes at a time when many question the value of higher education. The ranking demonstrates the system’s commitment to upward social and economic mobility, an increasingly important metric in evaluating educational institutions.

Social mobility – sometimes called economic mobility – refers to the movement of individuals between socioeconomic classes. A college education has long been considered a pathway to improved economic circumstances, and the new data supports this view. The study reveals nearly all schools in the top 50 of the index boosted the earnings of their low and moderate-income students by at least $20,000 over what someone with only a high school diploma would earn.

The California Mobility Index uses tax records from the Treasury Department to measure the earnings of former students 10 years after their enrollment. It also factors in the cost of education after scholarships and grants, recognizing student debt can impede economic progress.

Data from Cal State L.A. reveals that it takes under nine months for former low- and moderate-income students to recover the cost of their education. The average cost of a four-year undergraduate degree for these students, after accounting for scholarships and grants, is just over $18,000. Furthermore, these students have median annual earnings of slightly more than $59,000, 10 years post-enrollment.

The top 15 colleges on the index are predominantly CSU campuses, with UC Merced at number 10 and UC Irvine at number 12 being the exceptions. UC Berkeley placed 24th and UCLA ranked 27th. These institutions provide education to low and moderate-income students at a lower cost than almost every private school on the list.

All institutions in the top 15 had a net cost of less than $45,000 for four years of education. In contrast, private colleges were found to be substantially more expensive for the same demographic. The University of Southern California, ranked 44th, had a four-year net price of about $62,000, while Pepperdine University, ranked 59th, cost approximately $131,000.

“Schools atop the CMI are effective in bringing in a broad group of students, lifting them up the socioeconomic ladder and leaving them better off than the previous generation,” said Michael Itzkowitz, founder and president of HEA Group, a research and consulting company focused on college value.

The ranking methodology differs from traditional college lists by not considering standardized test scores or institutional prestige, factors that typically favor private schools. Instead, it focuses on economic outcomes and affordability.

The CSU system, with 23 campuses graduating approximately 125,000 students annually, is the largest four-year public higher education system in the country. Despite this success in promoting economic mobility, the system faces significant financial challenges, including a proposed $375 million funding cut in Gov. Gavin Newsom’s 2025-26 budget.

Chancellor Mildred García described potential cuts of this magnitude as potentially “heartbreaking” during a January statement. The financial strain comes as the system demonstrates its effectiveness in providing accessible education, leading to improved economic outcomes.

Eloy Ortiz Oakley, president of College Futures Foundation, acknowledged these challenges but emphasized the positive findings of the index. “We can see that the CSU has been carrying the largest load in terms of percentage of low-income learners and helping them get into the workforce, and doing it in a way that helps them recover the cost of their education,” he said.

Itzkowitz noted that the schools ranking highest on the California Mobility Index not only provide an “extremely affordable education” to low and moderate-income students but also enable them to “enter the workforce and succeed economically within just a few years.”

College rankings remain influential in higher education, with one survey indicating nearly 60% of college-bound high school seniors consider them. However, rankings vary in methodology and focus. U.S. News & World Report has included a social mobility component since 2018, publishing both national and regional lists.

While Cal State L.A. tops the California Mobility Index, it is tied for fifth place on U.S. News’ social mobility ranking of universities in the Western region. The U.S. News methodology differs by focusing primarily on factors related to Pell Grants rather than comprehensive economic outcome data.

Oakley expressed concerns about traditional ranking systems, describing them as “extremely damaging” to perceptions of educational value. “They have created this perception that individuals that graduate from the most selective, wealthiest institutions have a leg up on everybody else,” he said. “And so there’s this arms race to be more selective, more wealthy. What it does to ... the rest of Americans that go to anything from community colleges to four-year regionals to public [schools] like the UC, it skews the perception of those institutions. And so the whole ranking system is upside down.”

In contrast to traditional rankings, Itzkowitz said the California Mobility Index highlights “institutions that not only provide a strong return on investment for low and moderate-income students, but also enroll a large proportion of them.”