The market-based funding model more commonly known as direct student aid, which was adopted by the federal government during the late 1960s and early 1970s, has created a series of unintended consequences that threaten educational equity and the future of public higher education. The economic and societal impacts of the privatization of US public…

The unstable funding of higher education exacerbated by current damaging environmental contexts has created a need to rethink current approaches and opportunities regarding the financing of higher education. States and campuses must strategically leverage the current significant federal investments to meet their postsecondary objectives including…

Rethinking the balance between federal and state responsibilities for supporting colleges and universities and making higher education accessible and affordable for students is important. There is little disagreement about the current education financing system being inadequate. The debate is about the best way to solve the problem. In this…

David Longanecker wrote an article in "Change", "A Tale of Two Pities," that described the colliding perspectives of two communities--those who provide higher education and those who create and sustain the policy environment in which it functions. Each of these communities is committed to ensuring that Americans have broad…

Substantial investments by states dramatically increased the scale and scope of public colleges and universities beginning in the early 20th century and provided subsidized post-secondary opportunities across institutions ranging from community colleges to research universities. Nearly 50 years ago, economists Lee Hansen and Burton Weisbrod opened…

College-provided scholarships, or tuition discounts, are in the news. The National Association of College and University Business Officers recently estimated that the average discount for full-time, first-year undergraduates at private nonprofit colleges and universities hit 50 percent in the fall of 2017. In other words, these institutions…

With very few exceptions colleges and universities of all types--2-year and 4-year, public and private-- are feeling the fiscal pinch. They are caught in the vise of rising expectations and constrained revenues. Public institutions are operating in an environment in which state-level policy-makers press for increasing numbers of graduates,…

When trustees, presidents, and senior college administrators meet, one topic dominates the conversation: how to keep education quality high and costs down. To keep quality high, college leaders need to have strong faculties and state-of-the-art facilities for teaching and research. Quality counts but it also costs, and that is where the pressures…

This article reviews the path of funding higher education in Hungary, where funding cuts have resulted in understaffing, escalating tuition, growing student debt, and declining enrollment. Graduation rates are low, government policies favor vocational disciplines, and the system of preparation and access gives preference to students from wealthier…

After receiving his PhD in 1970, the author has spent almost 30 years conducting research on the economics of higher education, chairing faculty budget committees at Cornell, serving as a Cornell vice president and then as a trustee of both Cornell and SUNY, and being associated with innumerable national commissions and higher education…

In 2004 Colorado passed legislation enacting the nation's first voucher-based approach to financing higher education, known as the College Opportunity Fund (COF). The work of an unusual coalition that included higher education leaders, generally conservative policymakers, and others, COF completely replaced the traditional approach of subsidizing…

This article discusses the current student-aid system in American higher education and the policy issues surrounding it. The author asserts that it is time to consider serious reform of the complex system of federal, state, and institutional subsidies that has evolved to support postsecondary students. A rational long-term planning process never…

In a well-known fable, several blind men are asked to describe an elephant. One says, ''An elephant is flat, like a pancake," another says that it's "like a big snake." Their descriptions are accurate but limited, based on whichever part of the beast each happens to be holding--the ear, the trunk, and so forth. America's "system" of higher…