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Financial Aid in the News

A Failing Financial Aid System Keeps Students Out Of College (U.S. News & World Report)

"The American dream is founded on the notion that anyone who is smart and disciplined can get an education and succeed. But the financial aid system meant to help needy students afford college is cracking under the strains of skyrocketing tuition and a crumbling economy," U.S. News & World Report reports. "This is happening even though taxpayers, colleges, charities, and employers are collectively spending more than ever on financial aid - an estimated $74 billion in grants this academic year, more than double the amount handed out in 2000. The basic problem is that this big number has been overwhelmed by some bigger ones. In the past decade, college enrollment has jumped by nearly 4 million to more than 18 million, and the annual costs of the typical four-year college have almost doubled to more than $14,000. The result of that one-two punch: The total amount of grant money handed out nationwide per student has risen by less than $2,000 over the past decade. The sticker price for a year at a typical public university, meanwhile, has risen by almost $6,600."

You can read the complete September 4, 2008 U.S. News & World Report article on-line.

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