Colleges offer discount to entice students

Private non-profit colleges in America are offering students tuition fee discounts of 45%, on average, in response to a changing financial environment that stems from the weak economic recovery, writes Janet Lorin for Bloomberg News.

Price reductions, designed to boost attendance, were at an all-time high in 2012 and outpaced the rate during the recession, according to a study of 383 private non-profit four-year institutions, released last week by the National Association of College and University Business Officers.

Some colleges are struggling with enrolment declines even after offering a reduction and enduring price sensitivity is driving the drop, according to chief business officers at institutions that have been affected. Attending some private colleges can run to more than US$60,000 annually, including room and board, books and other costs.
Full report on the Bloomberg site