Financial Metrics provides techniques to estimate the financial condition of a college and provide insight on where to target financial strategies.
Here are four reasons why colleges cost so much and why it is difficult to lower tuition prices. You might recall David Reisman’s fifty-year old rule that colleges usually increase revenue to the level of their expenses. In other words, it has been easier to increase...
Private colleges and universities are encountering unprecedented levels of financial stress that may even exceed the financial problems caused by the Great Depression in the 1930s. According to the Hechinger Report article in April 2024, “colleges are closing at a...
Economic equilibrium for a college or university is a state of long-term financial sustainability. Richard Cyert, late President of Carnegie Mellon University and a noted economist, originally developed the concept. This paper treats Economic/Financial Equilibrium as...