Moody’s: Outlook for higher ed sector now negative

By eCampus News staff and wire reports
January 17th, 2013

Moody’s Investors Service on Wednesday downgraded its outlook for the higher education sector to negative across the board, saying even prestigious, top-tier research universities are now under threat from declining enrollment, government spending cuts and even growing public doubts over the value of a college degree, the Associated Press reports. Previously, its outlook had been stable for those better-positioned institutions, and negative for the rest. The report explaining the decision outlines a range of financial challenges now burdening virtually all institutions, though in different measures in different places — stagnant family income that limits pricing power, substantial state funding cuts, a demographic dip in the population of new high school graduates and a federal budget standoff that almost certainly bodes ill for the future flow of dollars for research and student-aid programs like Pell Grants…

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eCampus News staff and wire reports

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