How Does The Rate Of Recession Affect The Economy In 1980

In the early 1980’s the economy experiences a recession. A recession is “a significant decline in economic activity spread across the economy, lasting more than a few months, normally visible in real income, employment, industrial production, and wholesale-retail sales (Recession, Retrenchment, and Recovery: State Higher Education Funding & Student Financial Aid, 13).” Technically there were two recessions, the first was from January through July of 1980, and the second was from July 1981 through November 1982. Because the two recessions happened so close people and there was only a 12-month gap people call it a “double-dip” recession. This double recession lasted 34 months. During the time of the recession, inflation and unemployment were
The appropriations per full-time equivalent (FTE) enrollment for higher education declined 2.0 percent after the recession of the 1980’s. The appropriations per FTE declined in 26 states. All but one of the 26 states had recovered by 1986. The 1990-91 recession affected appropriations of 38 states, ranging from less than 1 percent in Michigan to over 16 percent in Rhode Island and Virginia. Most the states had recovered to 1991 appropriation levels by 1997, but six states had still not recovered to the 1991 levels by the 2001 recession. There were 44 states that were affected by the 2001 recession and by 2006, 30 of the states had still not recovered. As the appropriations decreased the enrollment rate increased, causing more need-based financial
At the same time community colleges are facing an increased demand for student access, retention, outcomes, and completion rates all while serving students at a lower price. The need for community college funding was “realized through a solid financial model that included revenues from federal support, state support, local property taxes, student tuition and fees, and other minor, miscellaneous income sources (The Clear and Present Funding Crisis in Community Colleges, 6).” The amount of funding from these sources varied from state to state due to the expectations and goals they had for community college. Some state legislators think that tuition rates should be at zero or close to zero, while others believe that funding should be relatively equal between state aid, local taxes, and student tuition and some even believe that local property taxes should not be a part of the funding. Historically the funding for community colleges has been unstable and unpredictable. The Trade Adjustment Assistance Community College and Career Training program was launched by Obama administration in 2009, to give $2 billion over four years to fund community colleges. With this money colleges began to offer new, expanded, and accelerated programs and hired more faculty, and bough new instructional equipment. Colleges are now