Financial Issues in Higher Education Dr. David F. Finney.

Financial Issues in Higher Education

Dr. David F. Finney

Proportion of Undergraduates Receiving Financial Aid, Fall 1989

Full Time Students Any Aid Federal State Institutional Other Total 56.4% 41.9% 21.1% 23.6% 9.9% Public

All 48.3% 34.8% 19.1% 15.9% 9.0%4-year doctoral 49.2% 34.8% 17.5% 19.1% 9.5%Other - 4 year 51.0% 37.7% 22.9% 14.6% 9.1%2-year 44.5% 32.2% 18.4% 13.5% 8.1%Less than 2-year 56.3% 37.5% 10.2% 10.2% 12.1%

Private, Non-ProfitAll 70.4% 49.4% 30.6% 49.7% 14.7%4-year doctoral 62.6% 49.4% 21.9% 43.6% 14.9%Other - 4 year 75.7% 53.1% 37.1% 56.4% 14.6%2-year 66.9% 49.4% 26.9% 32.6% 16.5%Less than 2-year 79.3% 69.2% 21.0% 17.6% 7.1%

Private, For-ProfitAll 87.0% 82.1% 12.2% 18.2% 5.0%2-year 87.2% 81.7% 19.3% 15.2% 7.2%Less than 2-year 86.9% 82.4% 6.4% 20.7% 3.3%

U.S. National Data

Proportion of Undergraduates Receiving Financial Aid, Fall 1989

Part Time Students Any Aid Federal State Institutional Other Total 25.9% 12.5% 5.1% 6.4% 11.0% Public

All 23.0% 10.6% 5.3% 4.9% 10.2%4-year doctoral 29.8% 18.1% 8.6% 5.1% 9.4%Other - 4 year 28.3% 14.5% 6.2% 7.0% 11.1%2-year 20.9% 8.8% 4.6% 4.6% 10.1%Less than 2-year 27.3% 8.0% 5.3% 2.0% 14.6%

Private, Non-ProfitAll 42.9% 16.8% 15.1% 7.3% 20.9%4-year doctoral 41.5% 13.6% 15.8% 6.3% 21.1%Other - 4 year 43.3% 16.6% 14.9% 7.4% 21.8%2-year 40.1% 26.2% 15.9% 9.5% 11.1%Less than 2-year 69.7% 43.3% 7.7% 5.7% 23.4%

Private, For-ProfitAll 70.0% 61.7% 17.8% 6.0% 6.4%2-year 70.5% 60.3% 16.8% 11.1% 10.2%Less than 2-year 69.7% 62.4% 18.3% 3.2% 4.3%

U.S. National Data

Total Financial Aid Spending by SourceFederal Programs

Generally Available AidPell Grants $5,683,000,000SEOG $554,000,000State Student Incentive Grants $72,000,000College Work Study $760,000,000Perkins Loans $930,000,000Subsidized Stafford Student Loans $14,123,000,000Unsubsidized Stafford Student Loans $2,033,000,000Supplimental Loans for Students $3,477,000,000Parent Loans for Undergraduate Students $1,550,000,000Sub-Total $29,181,000,000

Specially Directed AidVeterans $1,214,000,000Military $408,000,000Other Grants $166,000,000Other Loans $456,000,000Sub-Total $2,244,000,000

Total Federal Aid $31,425,000,000

State Grant Programs $2,429,000,000

Institutional and Other Grants $8,081,000,000

Total Federal, State and Institutional Aid $41,935,000,000

Number of Recipients and Amount of Aid Per Recipient - Selected Federal Programs

Program Recipients AmountPell Grants 3,743,000 $1,518Supplimental Educational Opportunity Grants 991,000 $559College Work Study 713,000 $1,066Perkins Loans 697,000 $1,334Stafford Loans 5,278,000 $3,061Parent Loans for Undergraduate Students 342,000 $4,531Supplimental Loans for Students 885,000 $3,930State Grants and State Student Incentive Grants 1,859,000 $1,346U.S. National Data

Trends in Student Financial Aid: 1987-1997

0

5

10

15

2025

30

35

40

45

50

1987 1989 1991 1993 1995

Institutional andOther GrantsNon-FederalLoansState Grants

Other FederalProgramsFederal Loans

Federal Campus-Based AidFederal PellGrants

Co n

sta n

t 1 9

9 6 D

olla

rs in

Bil

lio n

s

Academic Year

Estimated Student Aid by Source for Academic Year (1996-1997)(current dollars in millions)

Federal Pell Grants ($5,660)10%

State Grant Programs ($3,190)6%

Other Federal Programs ($2,407)4%

Federal Loans ($30,112)

54%

Non-Federal Loans ($1,512)

3%

Institutional and Other Grants ($10,569)19%

Federal Campus-Based ($2,286)

4%

Growth in Federal Loan Volume (1992/1993 - 1996/1997)

0

2

4

6

8

10

12

14

16

18

92/93 93/94 94/95 95/96 96/97

SubsidizedStaffordUnsubsidizedStaffordPLUS

Loa

n V

o lu m

e i n

Bi l

lion

s o f

Co n

s ta n

t 19 9

6 D

o lla

rs

Academic Year

Fifteen-Year Changes in Tuition, Family Income, and Student Aid (Inflation Adjusted)

0102030405060708090

100

Tui

tion

Pri

vate

4Y

ear

Inst

itut

ion

Tui

tion

Pub

lic4

Yea

rIn

stit

utio

n

Med

ian

Fam

ilyIn

com

e

Aid

Per

Ful

lT

ime

Stu

dent

Per

cen

t C

han

ge in

Con

stan

t D

oll a

rs:

1980

/ 81

- - 1

995/

96

Public and Private Subsidy Per Student

7200

7400

7600

7800

8000

8200

8400

8600

1987

1988

1989

1990

1991

1992

1993

1994

Year

1994

Dol

lars

PrivatePublic

Public and Private Educational Expenditures

0

20004000

60008000

10000

1200014000

16000

1987

1988

1989

1990

1991

1992

1993

1994

Year

1994

Dol

lars

PrivatePublic

Real Growth in Costs, Prices, Subsidies, Aid and EnrollmentBy Control and Carnegie Type

1987 to 1994

Enrollment Subsidy Educational Net Tuition Sticker General Individual

Spending Price Subsidy Student

Aid

All Institutions 14.1% -3.7% 2.7% 20.3% 29.7% -14.6% 50.0%Public 15.4% -6.4% -2.7% 32.1% 37.5% -11.1% 44.5%Private 10.2% -0.7% 6.7% 18.2% 27.9% -19.2% 51.9%

Public InstitutionsResearch 3.6% -5.1% 2.9% 45.6% 44.7% -9.6% 42.8%Doctoral 12.4% -9.7% -2.5% 35.0% 36.9% -14.1% 41.6%Comprehensive 15.4% -10.7% -3.9% 46.3% 38.2% -14.5% 26.3%Liberal Arts 25.9% -13.2% -6.4% 62.1% 41.6% -17.8% 23.7%Two-Year 24.6% -4.0% -2.9% 11.1% 34.7% -9.3% 57.5%Specialized 9.2% -1.7% 0.6% 29.0% 37.5% -4.4% 53.1%

Private InstitutionsResearch 5.9% 16.2% 16.6% 17.2% 24.0% 9.6% 42.4%Doctoral 4.7% 13.1% 13.2% 13.2% 19.5% -0.7% 46.8%Comprehensive 15.6% -13.7% 1.5% 18.8% 28.9% -41.2% 62.5%Liberal Arts 14.7% 1.4% 6.8% 16.6% 28.2% -17.3% 51.7%Two-Year -3.0% 3.6% 11.0% 23.0% 31.0% -14.6% 48.2%Specialized 1.9% -8.9% 3.4% 23.4% 28.6% -22.3% 44.1%

Real Changes in Costs, Prices, Subsidies, Aid and Enrollment

All Institutions 462 -306 310 615 1,316 -1,006 700 46.7%

All Public 717 -525 -245 279 584 -829 305 47.8%

All Private 178 -61 930 991 2,134 -1,204 1,144 46.4%

Public Institutions

Decile 1 477 -1,254 -675 580 955 -1,630 376 60.7%

Decile 2 651 -1,225 -896 329 646 -1,542 317 50.9%

Decile 3 457 -848 -486 362 611 -1,097 249 59.3%

Decile 4 543 -258 43 301 597 -554 296 50.5%

Decile 5 613 -292 -91 201 561 -652 360 35.9%

Decile 6 707 -605 -344 261 520 -864 259 50.2%

Decile 7 887 -342 -138 204 501 -638 297 40.7%

Decile 8 860 -237 -25 212 488 -513 276 43.5%

Decile 9 930 -67 95 162 497 -402 336 32.5%

Decile 10 1,043 -112 67 178 459 -392 281 38.9%

Private Institutions

Decile 1 161 1,478 2,031 553 1,745 286 1,192 31.7%

Decile 2 76 -177 908 1,085 2,648 -1,740 1,563 41.0%

Decile 3 64 -94 984 1,078 2,514 -1,530 1,436 42.9%

Decile 4 170 -641 385 1,026 2,092 -1,708 1,066 49.0%

Decile 5 137 -67 1,133 1,199 2,598 -1,465 1,398 46.2%

Decile 6 233 -480 512 992 2,143 -1,631 1,151 46.3%

Decile 7 304 -446 571 1,017 2,130 -1,559 1,113 47.7%

Decile 8 255 -3 923 926 1,859 -936 934 49.8%

Decile 9 241 -99 580 679 1,768 -1,189 1,090 38.4%

Decile 10 135 -89 1,265 1,355 1,847 -582 493 73.3%

Enrollments Subsidy Educational Net Tuition Sticker General Individual % Increase Expenditures & Fee Price Subsidy Student in Sticker Price

Aid Raises Net Price

Vulnerability to For Profit CompetitionThe Most Vulnerable: Lowest 10% Of Subsidies

Public Private Public PrivateResearch 0 1 0.0% 3.0%Doctoral 1 12 2.0% 28.0%Comprehensive 5 66 2.0% 27.0%Liberal Arts 4 49 5.0% 9.0%Two-Year 32 38 4.0% 32.0%Specialized 0 51 0.0% 25.0%Total 42 217 3.0% 19.0%

Number of Schools by Type and Control

As Percentage of Type and Control in Polulation

Vulnerability to For-Profit Competition: The Vulnerable: Lowest 30% of Subsidies

Public Private Public PrivateResearch 4 2 5.0% 5.0%Doctoral 10 18 16.0% 42.0%Comprehensive 42 141 15.0% 58.0%Liberal Arts 18 133 23.0% 26.0%Two-Year 263 59 30.0% 49.0%Specialized 1 86 2.0% 42.0%Total 338 439 24.0% 37.0%

Number of Schools by Type and Control

As Percentage of Type and Control in Population

Expected Parental Contribution for Academic Year 1985-1986 as a Function of 1984 Family Income

Adjusted Gross Income Expected Contribution$15,000 $020,000 70025,000 143030,000 223035,000 321040,000 450045,000 589050,000 727055,000 854060,000 981065,000 1106070,000 1223075,000 1341080,000 14580

* Assumes a family of four with two parents, the student, and one additional dependent child.

New York State Tuition Assistance Program (TAP) Grants for Undergraduates at New York State Public and Private

Colleges, 1985-1986

$29,000 $300 $30027,500 453 30025,000 740 30022,500 1,015 30020,000 1,290 30017,500 1,565 30015,000 1,840 51512,500 2,100 77510,000 2,330 1,0057,500 2,525 1,200

Below 5,000 2,700 1,375

New York State Net Taxable Income of Family

Estimated TAP Award at Private Colleges

Estimated Tap Award at Public Colleges

Changes in Median Family Income and College Costs: 1963 - 1987

0

50

100

150

200

250

30063 71 73 75 77 79 81 83 85 87

Academic Year

Scal

e 19

70 =

100

Mediam FamilyIncomePublic 4-Year

Public 2-Year

Private University

Changes in Grants and College Costs: 1963 to 1987

0

50

100

150

200

250

300

350

63 72 75 78 81 84 87Academic Year

Inde

x 19

70 =

100

Grants

Public 4-Year

Public 2-Year

PrivateUniversity

Changes in Student Loans and College Costs: 1963 to 1987

0100200300400500600700800900

1000

63 72 75 78 81 84 87Academic Year

Ind

ex 1

970=

100

Student Loans

Public 4-Year

Public 2-Year

PrivateUniversity

Projected Changes in the Number of High School Graduates, 1995/1996 - 2005/2006 (in percents)

Alabama 0 Louisiana -14 Ohio 5Alaska 19 Maine 9 Oklahoma -1Arizona 47 Maryland 34 Oregon 19Arkansas 6 Massachusetts 27 Pennsylvania 15California 47 Michigan 5 Rhode Island 22Colorado 32 Minnesota 19 South Carolina 12Connecticut 20 Mississippi -8 South Dakota 1Delaware 38 Missouri 8 Tennessee 12Florida 56 Montana 7 Texas 17Georgia 29 Nebraska 4 Utah 5Hawaii 13 Nevada 77 Vermont 16Idaho -2 New Hampshire 38 Virginia 34Illinois 18 New Jersey 16 Washington 30Indiana 3 New Mexico 15 West Virginia -23Iowa -3 New York 12 Wisconsin 10Kansas 13 North Carolina 23 Wyoming -15Kentucky -5 North Dakota -13

Federal Income Taxes - 1993

0%10%20%30%40%50%60%70%80%90%

100%

All Filers Group's Share ofTotal Taxes

Top 1%

Top 5%

Top 50%

Bottom 50%

Share of Adjusted Gross Income - 1993

0%10%20%30%40%50%60%70%80%90%

100%

All Filers Group's Shareof Adjusted

Gross Income

Top 1%

Top 5%

Top 50%

Bottom 50%

Title IV Programs: Summary Information

Program Description Annual LimitsPell Grant Federal grant 98/99 Min. $400

98-99 Max $3,000Perkins Loan Program Long-term, low- interest loans $3,000/year undergraduates

Funds awarded by school $15,000 aggregate for undergraduates$30,000 combined max for grad and undergraduate

Work-Study Program Employment program: Funds awarded NAby school

Federal Supplimental Grant program (priority given to Pell Grant $100 MinimumEducational Opportunity recipients: Funds awarded by school) $4,000 MaximiminGrant ProgramFederal Stafford Loan Long-term low-interest loans $2626/year: 1st year

Interest deferred until graduation $3,500/year: 2nd year$5,500/year: each remaining undergraduate year$23,000 aggregate limit for undergraduate

Unsubsidized Stafford Loan Long-term, low-interest loan program. $4,000/year: 1st yearInterest not-deferred $5,000/year each remaining year

$46,000 aggregate limit for undergraduatePLUS Loan Long term, low-interest loan for parents No annual aggregate limits, except cannot borrow more

than the difference between cost of attendance andestimated financial assistance

Federal Financial Aid Requirements

Criteria Collected on the FAFSA and/or Through the Application

Process

Criteria Collected and Monitored by the School

Criteria Not Specifically Collected But Must be Resolved if Conflicting

Information Exists

Satisfactory Academic Progress

Enrollment as Regular Student in Eligible Program

High School Diploma or Recognized Equivelent

Borrowing in Excess of Annual and Aggregate Loan Limits

Simultaneous Enrollment in Elementary or Secondary School

Property Subject to Lien for Debts Owed to the U.S.Government

Incarceration

Citizenship Status

Social Security Number

Selective Service Registration

Default and Overpayment

Certain Drug Offenses

Statement of Educational Purpose

Financial Need

Individual Program Requirements

Overview of “Cost of Attendance”

• For most students, the statutory cost of attendance includes three basic components:

– Tuition and Fees

– Books, Supplies, Transportation, and Personal Expenses

– Room and Board

California General Fund Appropriations (in millions of dollars)

1990 1991 1992 1993 1994 1995 % changeLegis./Jud./Exec. 1,403 1,346 1,617 1,355 1,268 1,338 -4.6%Health & Welfare 12,478 13,377 13,680 13,084 13,282 13,957 11.9%Corrections 2,451 2,667 3,049 3,032 3,383 3,624 47.9%K-12 Education 14,682 14,265 16,416 16,266 14,481 15,333 5.8%Higher Education 5,576 5,833 5,831 4,920 4,681 5,102 -8.5%Other 2,817 2,853 2,710 2,165 1,861 2,396 -14.9%Total 39,406 43,177 43,303 40,824 38,956 41,951 6.5%U.S. CPI 5.4% 4.2% 0.3% 0.3% 2.6% 2.8% 16.6%

California State Support for Public Higher Education (in dollars)

1990-1991 1995-1996 1990-1991 1995-1996Tax Revenue Per Capita 2,212 2,685 2,011 2,535Appropriation Per Public FTE 4,713 4,798 4,364 4,801% of Taxes Allocated to Public Higher Education 9.1% 7.1% 7.0% 6.0%

California National Average

California Higher Education Participation Ratios

4.14.24.34.44.54.64.74.84.9

55.1

Academic Year

Par

tici

pati

on R

atio

Note: The participation ratio measures the number of FTE public college and university students divided by the number of new high school graduates

California Higher Education Student Enrollment Ratios

373839404142434445

1985

-86

1986

-87

1987

-88

1988

-89

1989

-90

1990

-91

1991

-92

1992

-93

1993

-94

1994

-95

1995

-96

Academic Year

Enr

ollm

ent

Rat

io

Note: The student enrollment ratio measures the number of FTE public college and university students per 1,000 residents

California Funding for Public Higher Education (1985-1997)

0

0.51

1.52

2.53

3.5

Academic Year

CommunityCollegesUC

CSU

In B

illi

ons

California Student Financial Aid Allocations

05

1015202530354045

Sta

te A

id

Pel

l G

ran

ts

Fam

ily

Loa

ns

1990-19911994-95

Per

cent

Inst

itu

tio n

-Ba s

ed A

id

Cam

pu

s B

ased

Aid

Oth

er F

eder

al A

id

Average Public Undergraduate Tuition and Fees -- California State ( in dollars)

1990-91 1995-96 1990-91 1995-96Universities 2,156 2,310 1,999 4,355

Colleges and State Universities

1,735 2,534 929 1,900

Community Colleges 947 1,391 100 390

National Average California

117.9%

104.5%

290.0%

% Increase for California

Increases in Students’ Price of a Dollar’s Worth of Higher Education 1986-7 to

1994-5

0.3% Private Research Universities1.8% Private Doctoral Universities11.1% Private Liberal Arts Universities12.6% Private Two-Year Colleges15.5% Public Two-Year Colleges18.0% Private Comprehensive Universities40.0% Public Doctoral Universities40.3% Public Research Universities50.1% Public Comprehensive Universities76.9% Public Liberal Arts Colleges

Revenues by Source for Higher Education - 1997

41.80%

9.50%

48.70%

State and LocalGovernmentFederal

PersonalConsumption

Higher Education’s Share of the U.S. Gross Domestic Product 1952-1997

00.20.40.60.8

11.21.41.61.8

2

Per

cen

tage

1952

1957

1962

1967

1972

1977

1982

1987

1992

1997

Year

Higher Education’s Share of Expenditures of State and Local Governments 1952-1997

0123456789

Per

cent

of T

otal

E

xpen

ditu

res

1952

1957

1962

1967

1972

1977

1982

1987

1992

1997

Calendar Year

State and Local Government Budget Share Changes 1982-1997

8.61.9

0.40.2

-0.5-1.7-1.8

-2.16-2.2

-2.9

-5 0 5 10

Change in Percent

Health

Highways

Higher Educ

Welfare

Elem/Sec Educ

All Other

Police

Exec/Leg/JudCorrectionsMedical Care

Higher Education’s Share of Expenditures of the Federal Government 1952-1997

00.10.20.30.40.50.60.70.80.9

1

Perc

ent o

f Fed

eral

E

xpen

ditu

res

1952

1956

1960

1964

1968

1972 19

6

1980

1984

1988

1992

1996

Calendar Year

Higher Education’s Share of Personal Consumption Expenditures 1952-1997

0

0.2

0.4

0.6

0.8

1

1.2

1.4

Perc

ent o

f Per

sona

l C

onsu

mpt

ion

1952

1956

1960

1964

1968

1972

1976

1980

1984

1988

1992

1996

Calendar Year

Distribution of Responsibilities for Financing Higher Education 1952-1997

0

10

20

30

40

50

60

70

Calendar Year

Per

cent

of T

otal

Exp

endi

ture

s

State & LocalGovernmentStudents &ParentsFederalGovernment

Higher Education’s Share of U.S. Gross Domestic Product and Population 1952-1997

0

0.5

1

1.5

2

2.5

3

Calendar Year

Per

cent

age Percent of

PopulationPercent of GDP

Higher Education Enrollment Rates (1990-1994)

0

5

10

15

20

25

30

1990 1991 1992 1993 1994

Year

% o

f A

ge G

roup

Albania

Bulgaira

Czech Republic

FYR Macedonia

Hungary

Poland

Romania

Slovakia

Educational Expenditures and GDP (1989 & 1994)

01234567

Percent of GDPR

oman

ia

Alb

ania

Pola

nd

Slov

enia

Slov

akia

Cze

ch

Bul

gari

a

FY R

M

Hun

gary

EO

CD

Country

19891994

Pricing Educational Programs

• The following objectives should be sought in pricing educational systems:– Course programming should be maximally flexible

– There should be no price disincentives to discourage students from taking additional courses to enhance their education

– Financial pressures on students to graduate earlier than they wish should be minimal

– There should be an effort to minimize the financial distribution between scholarship and non-scholarship students

Scaled Pricing

• Under a system of scaled pricing, a student pays more for the first and second courses, less for additional courses up to an accepted norm

• This form of pricing encourages taking courses for individual enrichment, not acceleration purposes

Two-Part Pricing

• Two part pricing partitions tuition into two parts:– The first part fixes prices to enrolling students

independent of the number of courses taken– The second part fixes prices to the individual course

• The fixed price requires analyzing and segregating instructional and non-instructional costs.

• In two part pricing, there are no additional costs to the student for acceleration

Term Pricing

• Under the term pricing model, a flat tuition fee is charged each term. This schedule discourages part time study but does not penalize a student who wishes to take additional courses for credit

Unit Pricing

• Under a unit pricing system, students are charged a set price per course

• This system is generally in effect at institutions with large numbers of part time commuter students

U.S. Public High School Graduation Rates 1981 - 1996

6465666768697071727374

Hig

h Sc

hool

Gra

duat

ion

Rat

e

1981

1983

1985

1987

1989

1991

1993

1995

Year

Average Annual Income by Educational Attainment for Males 25 Years and Over - 1996

0

20000

40000

60000

80000

100000

120000

Ave

rage

Inc

ome

($)

LT9 9 to 11 HSG Some AA BA MA PhD Prof

Educational Attainment

Average Annual Income by Educational Attainment for Females 25 Years and Over - 1996

0

10000

20000

30000

40000

50000

60000

70000

Ave

rage

Inc

ome

($)

LT 9 9 11 HSG Some AA BA MA PhD Prof

Educational Attainment

College Attendance Rates for Recent High School Graduates 1959-1997

0

10

20

30

40

50

60

70C

olle

ge A

tten

danc

e R

ate

1959

1963

1967

1971

1975

1979

1983

1987

1991

1995

Year

Higher Education Undergraduates Receiving Pell Grants 1975-76 to 1998-99

0

5

10

15

20

25

30

Per

cent

Rec

eivi

ng P

ell

Gra

nts

1976

1978

1980

1982

1984

1986

1988

1990

1992

1994

1996

1998

Year

Federal Family Contribution Expectations 1997-1998

0

5000

10000

15000

20000

25000

30000

0 10 20 30 40 50 60 70 80 90 100 110 120

Family Income ($000)

Fam

ily

Con

trib

uti

on

Total Tax Revenue as a Percent of Gross Domestic Product - 1992

0 10 20 30 40 50 60Turkey

United States

Japan

United Kingdom

Spain

Germany

Italy

France

Sweden

Cou

ntr

y

Taxes as Percent of Gross Domestic Product

Average College Costs, 1997-1998

4-Year Colleges Resident Commuter Resident CommuterTuition and Fees $3,111 $3,111 $13,664 $13,664Books and Supplies $634 $634 $631 $631Room and Board $4,361 $1,963 $5,549 $1,913Transportation $573 $960 $537 $854Other $1,390 $1,465 $1,043 $1,201Total $10,069 $8,133 $21,424 $19,263

2-Year CollegesTuition and Fees $1,501 $1,501 $6,855 $6,855Books and Supplies $610 $610 $617 $617Room and Board ** $1,881 $4,543 $1,910Transportation ** $978 $610 $919Other ** $1,226 $1,072 $1,165Total ** $6,196 $13,697 $11,466** Insufficient DataSource: The College Board

Public Colleges Private Colleges

Range of Tuition at 4-Year Institutions, 1997-1998

$20,000 or More 5.5%$16,000 -- $19,999 4.8%$12,000 - $15,999 9.4%$8,000 - $11,999 7.1%$4,000 - $7,999 19.1%

Less Than $4,000 54.1%TOTAL 100.0%

All InstitutionsProportion of Total

Enrollment

Highest Level of Educational Attainment for 1989-90 Beginning Postsecondary Students

by Spring 1994

Men 15.6% 38.4% 11.3% 10.2% 24.5%Women 11.2% 35.4% 14.4% 12.1% 26.9%

American Indian 21.5% 28.0% 22.8% 11.9% 15.8%Asian 19.8% 25.6% 11.4% 8.4% 34.8%Black (Non-Hispanic)

13.5% 44.7% 16.1% 8.8% 16.9%

Hispanic 18.7% 36.3% 15.7% 11.5% 17.8%White 12.3% 36.5% 12.3% 11.6% 27.3%

Low SES 9.0% 53.1% 23.2% 8.9% 6.1%Middle SES 14.4% 40.2% 15.2% 11.4% 18.7%High SES 13.5% 26.9% 6.0% 11.9% 41.1%

Bachelor's Degree

Enrolled in 1994, No Degree

Not Enrolled in 1994, No

DegreeCertificate

Associate Degree

Public and Private Subsidy Per Student

7200

7400

7600

7800

8000

8200

8400

8600

1987 1988 1989 1990 1991 1992 1993 1994

Year

1994

Dol

ars

Public SubsidyPrivate Subsidy

Public and Private Educational Expenditures

0

20004000

60008000

10000

1200014000

1600019

87

1988

1989

1990

1991

1992

1993

1994

Year

1994

Dol

lars

Public SpendingPrivate Spending

Funds and Revenues of Higher Education Institutions by Source (in billions)

Revenue Source Amount Share of Total Amount Share of TotalTuition and Fees $33,926 31% $48,647 35%State and Local $41,989 38% $46,909 34%Federal $14,016 13% $18,678 13%Other $19,310 18% $25,098 18%Total $109,242 100% $139,331 100%

1989-1990 1993-1994

Inflation -Adjusted Percent Changes per FTE Student for Selected Institutional Types

Revenue Private 4-Year Public 4-Year Public 2-YearTuition and Fees 24.4% 32.0% 25.9%Federal Grants and Contracts 13.2% 37.6% 39.8%State and Local Appropriations -55.1% -7.2% -3.9%

EndowmentMarket Value of Endowment Assets 28.9% 70.7% 28.5%

Student AidPell Grant -1.3% 5.0% 22.1%Federal Student Loans 98.5% 114.4% 63.4%State and Local Grants 18.4% 13.1% 18.0%Institutional Scholarships 63.0% 60.9% 62.9%

Percentage of Undergraduates Receiving Financial Aid, by Type of Institution

1995-1996

4-Year 2-Year 4-Year 2-YearFull-Time Students

% Reveiving Any Aid 66.0% 63.0% 80.0% 82.0%% Receiving Grants 49.0% 44.0% 72.0% 63.0%% Obtaining Loans 45.0% 16.0% 57.0% 56.0%% Participating in Work Study 8.0% 6.0% 26.0% 6.0%

Part-Time Students% Reveiving Any Aid 48.0% 36.0% 70.0% 49.0%% Receiving Grants 34.0% 31.0% 47.0% 34.0%% Obtaining Loans 30.0% 8.0% 29.0% 30.0%% Participating in Work Study 4.0% 1.0% 4.0% 0.0%

Public Private

The Maximum Pell Grant as a Share of Cost of Attendance, 1973 - 1996

0102030405060708090

1974

1977

1980

1983

1986

1989

1992

1995

Years

Per

cen

tage

Public 4-YearPrivate 4-Year