Consider this fact: The more people in a state with college degrees, the more high-wage jobs in that state. Research completed by the University of Maine revealed that unlike with other supply and demand relationships, college degrees do not devalue when there are more of them, but rather, they increase in value. That’s a simple observation, but with profound implications for a state like Maine, struggling for economic footing in the 21st century.

Perhaps Maine could learn a lesson from Georgia. In 1993, the Peach State launched the Hope Grant program, which offers every high school student in the state with a B average or better free tuition at a state-run college or university. The student must maintain a B average or better through college to remain eligible. Students attending private schools in Georgia receive $3,000 grants in lieu of the free tuition. Georgia pays for the program through dedicated lottery revenues.

Fifteen years later, the Hope Grant is deemed a success. A study showed that average SAT scores for freshmen increased from 1,086 in 1993 to 1,203 by 2001. That year, Georgia cracked the top 20 for the first time in U.S. News and World Report’s ranking of public universities. The Hope Grant has even caused some families to move to Georgia so their children could be eligible for the free tuition; a one-year residency is required.

Maine has just begun offering a similar benefit through the Opportunity Maine program. Students paying for college in Maine beginning in the fall 2007 semester and continuing into the future can get a tax credit that should cover their student loan repayments after graduation. The tax credit is available only to the graduates while they live in Maine. The idea is to keep young graduates here. Opportunity Maine also extends the benefit to those who attended college elsewhere but now live in Maine. Again, the advantage to the state’s economy is that it gets more college graduates, which in turn means better jobs.

In the current fiscal climate, it’s not likely that Maine could replicate the Georgia program. But it’s worth understanding why it’s still in place. Because of the component that requires students to earn a B average in high school to be eligible, academic standards have been raised at Georgia’s secondary schools. The Hope Grant can be applied to any of the state’s technical or liberal arts colleges, and there is no cutoff on age, so fiftysomethings can go back to school, tuition free.

A Web site promoting the Hope Grant notes: “If states begin competing for educated workers by underwriting more of the cost of their education, perhaps those soaring costs will become less of a headache for students and employers. Or consider moving – the weather’s pretty nice in Georgia.”

We would counter that Maine offers a high quality of life, if not nice weather.