An Examination of the Influence of Decreases in State Appropriations on Online Enrollment at Public Universities

Ortagus, Justin C.; Yang, Lijing

doi:10.1007/s11162-017-9490-y

Cited by 23 publications

(14 citation statements)

References 27 publications

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“…Colleges respond to internal and external changes by shifting strategies and behaviors. In the case of declines in state appropriations, colleges have sought to diversify revenue streams via expanded online programs (Ortagus & Yang, 2018), the recruitment of international students (Cantwell, 2019), or the enrollment of out-of-state students at public colleges (Jaquette & Curs, 2015). The impact of periods of crisis, such as the Great Recession or COVID-19, represent large shocks to the ecosystem that would impact colleges as well as external resources.…”

Section: Theoretical Framingmentioning

confidence: 99%

Facing a crisis head‐on: Institutional borrowing decisions during times of uncertainty

Ward

Haynes

2022

New Drctns Hghr Edu

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Section: Theoretical Framingmentioning

confidence: 99%

Facing a crisis head‐on: Institutional borrowing decisions during times of uncertainty

Ward

Haynes

2022

New Drctns Hghr Edu

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“…Researchers have not similarly examined enrollment patterns for online education, but they have investigated topics that shape enrollment patterns. 2 Ortagus and Yang ( 2018 ) found a negative relationship between changes in state appropriation funding and changes in online enrollment at public 4-year institutions, suggesting that financial challenges may spur institutions to launch and grow online programs. Skinner ( 2019 ) found that online enrollments were smaller at open admission public institutions when nearby broadband speeds were at the lower end of the spectrum.…”

Section: Related Literaturementioning

confidence: 99%

Concentrated or Fragmented? The U.S. Market for Online Higher Education

Cheslock

Jaquette

2021

Res High Educ

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As the financial challenges facing the U.S higher education industry mount, colleges and universities seek new activities that can improve their financial situation. Online education programs are often viewed as a promising option due to growing student interest and the substantial net revenue generated by early entrants that leveraged economies of scale and scope. The number of schools that can experience similar outcomes will depend upon whether the online market is primarily concentrated, with a small number of higher education institutions enrolling most students, rather than fragmented, with large numbers of institutions enrolling meaningful amounts of online students. We examine this topic by providing the first detailed study of market concentration in online education. We first introduce a theory from economics, Sutton’s model of endogenous fixed costs, to the higher education literature to highlight key dynamics that shape concentration levels. Using institution-level enrollment data for the population of Title IV postsecondary institutions, we then empirically examine concentration levels in online education. We find that relative to in-person education, national online enrollment patterns are heavily concentrated. The online market has a distinctive structure, consisting of a small number of large national providers and a large number of small local providers. Online enrollment patterns became less concentrated between Fall 2012 and Fall 2018 due to major enrollment declines of large for-profit providers. Concentration levels, however, plateaued by the end of the period due to rapid enrollment growth at large national nonprofit providers.

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“…Therefore, a fixed-effects model worked well the chosen dependent and independent variables selected to answer the research questions. Variables were transformed to a national logarithm to "model a linear relationship, reduce sensitivity to variations in institutional size, and simply interpretation" (Ortagus & Yang, 2017). In order to allow for colleges and universities to make institutional responses, all independent variables with the exception of the top-tax rate were lagged for one year.…”

Section: Fixed Effects: 𝒀 𝒊𝒕 = 𝜷 𝟏 𝑿 𝒊𝒕 + ⋯ 𝜷 𝒌 𝑿 𝒌𝒊𝒕 + 𝜶 𝒊 + 𝝁 𝒊𝒕 + ...mentioning

confidence: 99%

How External Factors Influence Higher Education Philanthropy

Storm¹

2020

Proceedings of the 2020 AERA Annual Meeting

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The cost for higher education increased nearly 55% from 2002 to 2012, while state appropriations decreased 12% over the same time period (Government Accountability Office, 2014). The cost burden has been shifted heavily on students and their families as institutions have raised the cost of attendance in order to make up for declines in state support dollars. As the country continues to face a student loan bubble that impacts the housing market, marriage rates, and birth rates it will be important to the future of higher education to figure out other sources of revenue to balance budgets (Choi, Zhu, Goodman, Ganesh, & Strochak, 2018).Higher education philanthropy topped $41 billion in 2016 (Council for Aid to Education, 2017). While university endowments currently make up about 9.7% of the overall operating budget for institutions, philanthropy has the potential to make a substantial impact on colleges and universities (National Association of College and University Business Officers, 2016). By looking at how federal student loans, federal grant aid, state appropriations, and the top tax rate impact philanthropy at private and public four-year, non-profit institutions will be added add to existing research on private philanthropy.The findings of this study are that while the tax rate did not influence higher education philanthropy, all the other independent variables had statistically significant results. When the amount of student loans increased, philanthropic support decreased.

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An Examination of the Influence of Decreases in State Appropriations on Online Enrollment at Public Universities

Cited by 23 publications

References 27 publications

Facing a crisis head‐on: Institutional borrowing decisions during times of uncertainty

Facing a crisis head‐on: Institutional borrowing decisions during times of uncertainty

Concentrated or Fragmented? The U.S. Market for Online Higher Education

How External Factors Influence Higher Education Philanthropy

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