08/14

The Recession, Higher Education, and What Ed Tech Can do to Help

The 2008 Economic recession is known as one of America’s biggest financial crisis’ since the Great Depression. Millions of jobs were lost, families lost their homes, and inflation skyrocketed. Nearly everyone was affected by this giant financial crisis and are familiar with the affects it had on employment. However, what is less commonly known and recognized is the dramatic effect the 2008 recession had on higher education. This, however, could be one of the most important outcomes of the great recession, as our millenials are now suffering from some of the highest inflated tuition rates of all time. As Jeffrey Brown, the author of How the Financial Crisis and Great Recession Affected Higher Education, describes these effects, “The recent financial crisis had a profound effect on both public and private universities, which faced shrinking endowments, declining charitable contributions, and reductions in government support.” Of course, what happens when universities face a bleeding income? Tuition and other education costs must be increased. For the first time, young adults heading to college can no longer view higher education as an option, despite financial aid, scholarships, and grants combined. The inflation rate of universities has accelerated so much faster than that of the normal inflation rate, that no amount of financial accommodations can help. As a result, many have found themselves in huge amounts of college debt, and the cost of college has mattered more to students than ever before.

What can be done? Luckily, along with the decline of the economy has also brought along the rise of education technology. Education technology has become a shred of light onto students who couldn’t ordinarily afford college. The beauty of online education is that it cuts the surmountable amounts of money off of tuition, with still bringing the quality professors and courses along with it. In addition, online classes have done something revolutionary; providing education to those who have physical barriers in the way of getting to a university; this is a problem that could not have been solved until now.

At iQ technologies, we believe in the power of higher education, and we are a firm believer that everyone deserves a chance to go to school. In addition to providing online courses and all the benefits that come with it, iQ has created a revolutionary platform, unique to any other online school. We have come up with a platform that makes online education the closest possible form of a traditional classroom. With features such as video conferencing, virtual study groups, and easy-to-use messaging to professors, students can thrive more than ever.

We believe in making higher education affordable, do you?

Read more about the effects of the 2008 recession and education here.