The Homa Files

According to the NY Times,  a growing number of colleges and universities are facing declining enrollment … and less revenue from tuition.

Here are some facts …

The survey, released by Moody’s Investors Service, found that nearly half of colleges and universities that responded expect enrollment declines for full-time students.

About a third of the schools expect tuition revenue to decline or to grow at less than the rate of inflation.

The growing financial challenges for colleges and universities come as students and graduates have amassed more than $1 trillion in student debt.

Nearly one in six people with an outstanding student loan balance is in default, the federal government says.

Before the financial crisis of 2008, colleges and universities routinely raised tuition with little effect on the number of prospective students who applied.

Some private colleges said that applications actually increased when they bolstered prices.

Now schools are forced to adjust to the new normal.

Edit by JDC

* * * * *
Follow on Twitter @KenHoma         >> Latest Posts

This entry was posted on January 22, 2013 at 6:32 am and is filed under College, Education - Academics. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.