A crisis of sorts seems to have hit US education in that more and more colleges across the nation are apparently shutting down. As a matter of fact as many as 5%, US colleges either closed down or were not able to avail of federal grant last year.
The number of schools nationwide that were eligible to receive federal aid in 2017-17 fell by 5.6% in that school year. This has serious implications for the state of the nations’ education system in the sense that this decline has happened consecutively for four years. Quite a few of these schools had shut down n account of the Obama Administration’s so called “gainful employment rules,” which withdraw aid to for profit college programs that which made students take on debt in excess of what they could pay back.
An 11% of the nation’s for- profit colleges which amounted to about 366 in number either closed or stopped getting aid last year. This combined with a steep decline in enrollments, sealed the fate of these colleges. Quite a few of these institutions including the for profit ITT Technical institutes shut down mid term leaving thousands of their students in limbo.
In any case for profits have witnessed a 17% decline since their heyday in 2012. At that time there were 3500 such institutions nationwide. The number has since come down to 2899 institutions that receive Federal aid. A lot many more face closure this year, including the scores of colleges owned by EDMC one of America’s biggest for profit college companies.
Private nonprofit schools too shared a similar fate with as many as 33 private colleges having closed down or stopped receiving aid in the 2015 and 2016 school years. Truly things have not been very good for large numbers of US colleges in the recent past.