From the New York Times:
With the economy forcing budget cuts and layoffs in higher education, colleges and universities might be expected to be cutting financial aid. But no.
Students considering a wide range of private schools, as well as those who are already enrolled, can expect to get more aid this year, not less.
The increases highlight the hand-to-mouth existence of many of the nation’s smaller and less well-known institutions. With only tiny endowments, they need full enrollment to survive,and they are anxious to prevent top students from going elsewhere.
Falling even a few students short of expectations can mean laying off faculty, eliminating courses or shelving planned expansions...
Ithaca College, in upstate New York, is laying off faculty and cutting its 401(k) contributions as part of $4.2 million in budget cuts, but it is also offering increased tuition discounts that will make up the largest financial aid budget in its history. The college, which relies on tuition for more than 90 percent of its budget, saw the dangers of losing students last fall, when it had 240 fewer than anticipated, resulting in a $5 million decline in revenue.
Read the whole thing here.