Higher education is headed for a shakeout, analysts warn — from hechingerreport.org by Jon Marcus

Excerpt (emphasis DSC):

“A growing percentage of our colleges and universities are in real financial trouble,” the financial consulting firm Bain & Company concluded in a reportone-third of them, to be exact, according to Bain, which found that these institutions’ operating costs are rising faster than revenues and investment returns can cover them.

That’s because, as enrollments decline and families become more sensitive to price, colleges are cutting deeply into their revenue by giving discounts to attract students. The result is that, even though their sticker prices seem to be ballooning faster than the inflation rate, many of these schools are falling further and further behind.


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Daniel S. Christian - Think Virtual -- April 2012