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Decline in enrollment due to COVID-19 pandemic resulting in financial strain for colleges, universities

Due to the coronavirus, more students are deciding to take a year off which is resulting in a decline in enrollment.

The coronavirus pandemic has hit a lot of industries hard, including higher education. 

Colleges and universities are struggling more than ever with severe budget problems due to the pandemic.

Let’s connect the dots.

We all know college can be expensive -- forcing parents and students to go into debt just to pay for it. 

Thanks to coronavirus, more students are deciding to take a year off -- some have health concerns and many report worrying about paying tuition. But that tuition money is not the only place where colleges make their money.

There are actually three sources of funds for higher education: tuition, the federal government and state governments. When the system was initially put in place, state governments were supposed to shoulder the most cost. This led to widespread affordable higher education options at state schools after World War II.

But the trouble started when state governments suffered budget shortfalls. 

Higher education was a prime target for cuts because schools could always raise tuition to make up the money. So in pretty much every economic downturn since the 80s, states have cut money for colleges and universities, leaving many schools in a precarious position heading into this pandemic.

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