For
some years there has been disagreement over whether reductions in state and
federal funding have been responsible for rises in college and university tuition
rates. According to a report in Inside Higher Ed, a new research study
concludes that they have, at least in part.
The
study, published in the Economics of
Education Review, looked at the relationship between tuition and government
funding levels since 1987, taking into account factors such as increases in fee
revenue and state controls on tuition. It found that schools do pass along 25.7%
of cutbacks to students in the form of tuition increases.
“In
other words, for every $1,000 cut from per-student state and local
appropriations, the average student can be expected to pay $257 more per year
in tuition and fees,” explained the Inside Higher Ed report.
That’s
an average over three decades; the amount shouldered by students in recent
years has been even higher, about $318. Institutions with graduate programs
tended to raise tuition more than schools offering only bachelor’s or associate
degrees.
“The
fact that this has been increasing says to me that in the ‘80s and ‘90s, there
probably was a lot more fat in the budget,” said the lead researcher in the
study. “And so, when states would divest, it was a lot easier for schools to
cut things. Whereas now, the low-hanging fruit is diminishing. We’re having to
make tougher decisions, and we’re having to pass more of these costs on to
students because there’s not some obvious spending that we can cut.”
