Falling Rate of Higher Ed Inflation

September 16, 2010

The Higher Education Price Index (HEPI) for fiscal 2010, was 0.9 percent, less than half the 2.3 percent rate for FY2009, according to the Commonfund Institute, which calculates the figure. The index is intended to be used, like an inflation rate, in examining college budgets and policies. The idea is that colleges' expenses are sufficiently different from those in national inflation rates to merit a separate figure. The chief reason for this year's low rate was that two spending categories used in calculating the rate -- materials and utilities -- saw declines in prices.

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