The changing face of public funding of higher education, with special reference to South Africa
Stellenbosch Working Paper Series No. WP05/2007Publication date: 2007
Author(s):
[protected email address] (Institutional Planning Division, University of Stellenbosch)
Higher education displays characteristics of both private and public goods and there is a trend worldwide to expect individuals to pay more of the costs of their higher education. In South Africa public funding of higher education decreased from 0.86% of GDP in 1986 to only 0.66% in 2006. Due to the decrease in state appropriations, student tuition fees had to be increased to compensate for this loss of income. In the process staff numbers were kept relatively constant, while student numbers increased at a much faster rate. Two future scenarios, based on public higher education expenditure as a percentage of GDP and on real state allocation per WFTES, are included. Although the qualifications awarded per FTE academic staff member increased over time, the graduation rates of the higher education institutions in South Africa are worsening. High-level research, measured in publication units per FTE academic staff member, shows a disturbing decreasing trend since 1997.
JEL Classification:H52, I22, I23
Keywords:Higher education, education financing, qualifications
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29 May 2023On the local front, all eyes were on the SA Reserve Bank (SARB) last week, while global markets digested the latest Federal Reserve (Fed) minutes and kept a keen eye on any progress of discussions around lifting the US debt ceiling. The rand exchange rate remained under pressure and weakened to a fresh record low against the US dollar towards the end...
Read the full issue