The state of U.S. colleges: The rich get richer, the poor get downgraded — from wsj.com by Timothy Martin and Heather Gillers
Excerpt:
When it comes to their finances, many U.S. colleges would rather not see the report card.
The nation’s colleges and universities were the only sector of public finance — out of 18 — to experience more ratings downgrades than upgrades last year, according to a new report from S&P Global Ratings.
Higher education saw about three downgrades for every upgrade, the second straight year of credit deterioration, according to S&P.
Photo: Steven Senne/Associated Press
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The downgrades also serve as further evidence of a U.S. higher education system that has become increasingly bifurcated. Many schools are struggling with their bottom line as national enrollment falls, many Americans question the value of a college degree and state funding for many public institutions is drying up. Elite institutions, meanwhile, enjoy record levels of popularity with student applications and alumni donations.