Financial blows raining down on the nation’s colleges and universities amidst the coronavirus pandemic will severely challenge many and even force some out of business.
Robert Zemsky, a professor at the University of Pennsylvania, is the co-author of a new book,"The College Stress Test," which estimates that 10 percent of the nation’s colleges – smaller schools with poor retention rates – were already at risk of closing. Now, he tells ABC News, “we think another 10 percent is at risk because of the virus.”
Other cancellations at schools around the country add to the hurt. The University of Colorado Boulder will not hold its annual Shakespeare festival, which would have meant temporary employment for 400 people and, according to spokesperson Candace Smith, “We had to cancel the Dead and Company concerts. They rented out the football stadium for [two shows in] the summer. That is a loss of revenue for us.
But reducing tuition will not be easy. “The vast majority of institutions operate on very thin margins and have a lot of fixed costs such that it’s not necessarily easy to scale up or scale down if they are not able to bring in the revenue that they hoped for,” says Keane. The financial drain will be felt through the summer too since summer programs, cancelled at many schools throughout the country, normally account for as much as 10% of annual budgets, according to a report in the Chronicle of Higher Education.
In addition, the federal $2 trillion rescue package includes $14 billion for higher education, a number that sounds large but amounts to only 2% of the $700 billion in revenue that U.S. colleges and universities operate on.
Yes NOW is the time to rethink and to make sure we all keep this planet clean if you see someone dump any rubbish out of cars call the cops and fine them heavy 2000 $ or pounds or Euros and take the car and make them walk home ONLY way to stop morons causing another plague
realdonaldtrump destroys Incompetent fake news Yahoo reporter on basic data point. Next time pretend to have some humility when coming up with Fake news Yahoo.