Are Colleges Finally Experiencing Supply & Demand?

And will it lead to an understanding of the economics the rest of us live with? “American colleges and universities are reaching for every means through which they might increase net tuition revenue,” Brian C. Mitchell writes in the academe blog maintained by the American Association of University Professors (AAUP). “Net tuition revenue is the revenue that the college takes in from tuition after factoring in (i.e. deducting) all institutional financial aid.”

“The harsh reality is that net tuition revenue is flat or decreasing at many institutions. Since tuition is the principal source of revenue for these institutions, this is an increasing problem. Put simply, a college cannot continue to exist without sufficient revenue to meet its expenses.”

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