VIDEO: New Numbers Show Coming Burst of Higher Education Bubble as Colleges See Drops in Enrollment

Yesterday Bloomberg
published fresh data that foretells the coming burst of the
higher education bubble. The new numbers, which are based on recent
ratings by Moody’s, show a significant drop in enrollment in dozens
of colleges. According to Bloomberg: 

Moody’s, which rates more than 500 public and private
nonprofit colleges and universities, downgraded an average of 28
institutions annually in the five years through 2013, more than
double the average of 12 in the prior five-year period.

 Dozens of schools have seen drops of more
than 10 percent in enrollment, according to Moody’s. As faculty and
staff have been cut and programs closed, some students have faced a
choice between transferring or finishing degrees that may have
diminished value.

Recently, Reason TV sat down with Glenn Reynolds, professor of
law at the University of Tennessee, founder and editor of the
popular Instapundit
blog, and author of the book
The New School: How the Information Age Will Save American
Education from Itself, to talk about the state of higher
education. 

Reynolds maintains that the contraction of the higher education
bubble is already happening and says he currently sees the effects
in his field of legal study as lower enrollment numbers have forced
law faculties to trim staff. If the latest numbers from Bloomberg
are any indication, things in higher education are about to get a
lot worse before they get better.

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