Stanford’s budget woes

*The Financial Times* has a short but excellent [rundown]( of the toll that America’s economic downturn has taken on college endowments.

Elite American universities have faced a perfect storm of events in the past year: the number of applications has grown while large swaths of the endowment have contracted.

Here are the facts:

  • Elite colleges’ endowments have declined “an average of 24%” from June to December of last year.

  • Applications for the Stanford Class of 2013 were up 20%. A record-setting 30,428 students applied for 2,300 spots. A 7.6% final admission rate.

  • According to Provost Echemendy, **Stanford is committed to pay $110m in financial aid next year, $10m more than last year. **

  • **The University has needed to cut $300 million dollars from its $3.5 billion operating budget **due to declines in endowment.

  • **Stanford has frozen staff salaries.

  • **Stanford has ended a $1.3bn capital works program. **

  • Stanford will lay off about 350 people in this fiscal year.

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The Daily reported yesterday [] that Summer Research College will not exist this summer. > SRC previously housed about

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Speaking of Stanford’s admit rate . . .

The Stanford Review published an excellent piece [] in our last issue by sophomore Danny Chrichton on this year’s record-low

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