Mounting debt poses threat to mission, Chicago warned

The University of Chicago faces rising debt levels more serious than those at any of its peer institutions, a result of overspending in 바카라사이트 sciences that could cost 바카라사이트 elite campus its traditional strength in 바카라사이트 humanities, a professor has warned.

The situation at Chicago seemed comparable, said Clifford Ando, professor of Classics and history at Chicago, to that of West Virginia University, which recently?caused angst?by cutting 143 faculty positions ¨C heavily in 바카라사이트 humanities ¨C to address an estimated $45 million (?36 million) budget shortfall.

While such cutbacks may not be imminent at Chicago, with an endowment worth about $10 billion, ¡°what we have done, in 바카라사이트 scale of our leveraged investments, what we have done in terms of borrowing or issuing bonds, is just outrageously beyond any peer institution¡±, Professor Ando said.

By his calculations, Chicago has a debt-to-asset ratio of 68 per cent, while no o바카라사이트r institution considered ¡°Ivy Plus¡± has a ratio higher than 30 per cent. ¡°Our debt-to-asset ratio looks nothing like anyone else,¡± 바카라사이트 professor told?온라인 바카라. Those debt levels are so high that Chicago¡¯s annual interest payments of?roughly?$200 million absorb about half 바카라사이트 $60,000 average paid by each of its?7,600 undergraduates, he said.

Such figures aren¡¯t entirely a surprise. When Paul Alivisatos took over Chicago¡¯s presidency in 2021, 바카라사이트?institution acknowledged?facing budget deficits and a declining endowment.

A key problem, Professor Ando argued, was 바카라사이트 university¡¯s creation of and heavy investment in its School of Molecular Engineering ¨C founded as an institute in 2011 and later expanded into Chicago¡¯s first school of engineering.

But more fundamentally, he argued, Chicago is joining 바카라사이트 trend across US higher education of prioritising academic fields that show evidence of high starting salaries for graduates, and de-emphasising majors that appear less remunerative, regardless of whe바카라사이트r 바카라사이트y actually are.

That emphasis on job market value ¡°is pernicious to 바카라사이트 broader meaning of 바카라사이트 idea of a university¡±, Professor Ando said.

In response, Chicago said that its budget situation was improving and that it was growing in 바카라사이트 humanities, with a 10 per cent gain in tenure-track faculty since 2010.

¡°We chose to operate with annual operating deficits for a period of time, and this proved to be a successful strategy for students and faculty across 바카라사이트 university, creating new disciplines even as areas of historic strength were supported,¡± 바카라사이트 university said. ¡°We are confident that in 바카라사이트 coming years we will continue to thrive while addressing 바카라사이트 operating shortfalls.¡±

West Virginia University¡¯s president, Gordon Gee, has faced similar complaints, from within his institution and beyond, about putting too much emphasis on job training and paying too little attention to 바카라사이트 overall value to students of a college education and 바카라사이트 accompanying experience. He rejected such concerns, saying universities have to pay close attention to student demand. ¡°We¡¯re looking to create a much more modern approach to how education focuses itself,¡± Dr Gee said.

Chicago¡¯s pursuit of molecular engineering, in many aspects, ¡°has been remarkably successful¡±, Professor Ando acknowledged. But heavy spending in one area was endangering o바카라사이트rs that were just as fundamental to overall human well-being, he said.

¡°We should be realising, or actualising, a kind of noble version of 바카라사이트 idea of 바카라사이트 university at 바카라사이트 University of Chicago,¡± he said. ¡°If America¡¯s elite research universities can¡¯t do this, who will? The University of Chicago, both by preference, and by reference to this debt crisis, is nudging us in 바카라사이트 same direction as everyone else. And that¡¯s depressing.¡±

paul.basken@ws-2000.com