Public universities have historically been underpriced: average in-state tuition is $7,020 this year. A re-evaluation had to happen, says David E. Shulenburger, vice president for academic affairs at the Association of Public and Land-Grant Universities, because the benefit has been to higher income families. “You can’t justify that subsidy for wealthier students,” he says. The trend, accelerated by the economic shakeup, is from cheap to what he calls “moderate” tuition rates, at least by private-school standards.
Mr. Shulenburger sees the tuition increases as part of a larger movement toward privatization of the most desirable flagships. With state contributions largely flat or down over the last 15 years, and enrollments and costs up, many top flagships are turning to nonpublic sources for money and, in some cases, accepting larger numbers of out-of-state students, who often pay twice the tuition of residents.
At the same time, applications are pouring in from students shut out by the stratospheric cost of private colleges. That’s generally a good thing. Flagships are attracting more wealthy and better-prepared students. Yet as the counterargument goes, a flagship’s traditional mission is to educate its own, especially a state’s low- and middle-income students. The evolution under way is putting some flagships out of reach for the students who were typically enrolled even a decade ago. Each year, the quality of students as well as the budget model skews closer to that of elite private universities.
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