The report states that admissions in American colleges are decreasing, tuition fees are increasing and financial constraints in the institutions are increasing. A major threat is the projected decline in the number of students attending college, which is being called the ‘demographic cliff’. According to the report, in the worst case scenario, if college enrollment falls by 15% simultaneously, more than 80 colleges may be closed. This will affect more than 1,00,000 students and approximately 21,000 employees.
If admissions decrease, more than 4 colleges will be closed every year.
The report further states that if the decline in college admissions continues for the next five years, an average of 4.6 colleges will close each year. The closure of colleges will have an impact on local economies, especially in areas where colleges are a major source of employment. It says that even if the negative impact on a city due to the closure of a college is ignored, it will still have a direct impact on the workforce.
Why are colleges struggling?
In fact, American colleges are facing many problems. The birth rate declined during the Depression, which also led to a decline in the number of students attending college. Tuition fees are continuously increasing and student loan debt is also increasing, due to which people are weighing the pros and cons of going to college. This problem has been exacerbated by the decline in the number of students enrolling in college immediately after finishing high school.
From 2010 to 2021, student enrollment at degree-granting institutions has declined by 15%. Meanwhile, interest rates on government student loans have reached their highest level in 15 years, adding to the pressure. A recent survey by Keystone Education Group also found that 42% of students from different countries now study in america Not considering doing.
