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Do you mean subsidized in the sense of student loans backed by the government?
by ericmay 6y ago
Do you mean subsidized in the sense of student loans backed by the government?
- sudosysgen 6y agoNo. The link I was replying to was referring to State Universities. They are owned and partially financed by the government.
- ericmay 6y agoSure. But what I'm wondering is what subsidies you're referring to. Are you talking about grants and loans that students get, or maybe federal grant money for research?
- sudosysgen 6y agoThese organizations literally directly receive money from the government. Students grants are a factor too, but they are owned and financed in large part by the State. That's called a subsidy. They are losing money, that the taxpayer shoulders.
- ericmay 6y agoOk. So I looked at the FY19 budget for one of the universities I attended and for the overall budget of $7.3 billion it's broken out like this (numbers are rounded). [1] Tuition and fees -> $1.8 bb Government appropriations (it looks like this is what you're referring to as direct subsidies?) -> $ 470 mm Grants and contracts -> $862 mm Sales & Services University -> $543 mm Sales & Services Health System -> $3.3 bb Sales & Services OSU Physicians -> $480 mm Gifts and Endowment -> $380 mm Negligible other items -> $100 mm or something. So what subsidies are you referring to? Happy to look at a different university if you want to provide an example. [1]https://busfin.osu.edu/sites/default/files/12_a_fy21_budget_plan.pdf https://busfin.osu.edu/sites/default/files/12_a_fy21_budget_... -edit- Unfortunately I can't reply, but I'm not sure why you're only considering government appropriations with respect to tuition instead of the entire budget. Seems a bit selective to me.
- sudosysgen 6y agoYup, government appropriations is about 38% of tuition. Part of tuition is also paid for by the government via various programs. So if you want to look at total cost starting from the average amount a student pays as tuition you have to increase it by 38%. There are of course other intangibles paid for by the government such as the initial investment, often the land and a part of the endowment too. So it is consequence fair to say that that tuition in state university is subsidized by the government.