A report by Moody’s in late September predicts a tripling in the closure rate of small colleges and universities in 2017. They just aren’t going to be able to raise revenues quickly enough.
This is just one indicator of the profound changes that will be sweeping through higher ed in the coming decades. It speaks to a resistance on the part of more payers — i.e., the older generations — to underwrite ever-more-expensive programs that yield ever-less-productive outcomes in the real world. As a result, the larger colleges are offering heavy discounts while at the same time trying to boost amenities, and the smaller institutions just can’t compete.
Check the full report here.