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Recent changes of financing higher education in Germany and their intended and unintended consequences

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  • Teichler, Ulrich

Abstract

Since the late 1990s, substantial changes of financing higher education occurred in Germany. The total amount of public funding kept pace with inflation and growing student enrolment, whereby the share of Länder funding decreased and that of Federal funding increased. Additionally, higher education institutions generated more funds from other sources, but higher education in Germany remained among the economically countries with the highest proportion of expenditures covered by public funds. Efforts to introduce tuition fees were given up after a while. Substantial shifts were visible in terms of reduced basic funding, increased public funding through pluri-annual contracts and growing incentive-based funding. Some changes of funding mechanisms were linked to general higher education policies, e.g. strengthening the role of research and supporting the emergence of a distinct sector of “excellent” universities. Altogether, the public discourse as regards the benefits and risks involved of the changing funding policies remained controversial.

Suggested Citation

  • Teichler, Ulrich, 2018. "Recent changes of financing higher education in Germany and their intended and unintended consequences," International Journal of Educational Development, Elsevier, vol. 58(C), pages 37-46.
    • Handle: RePEc:eee:injoed:v:58:y:2018:i:c:p:37-46
    DOI: 10.1016/j.ijedudev.2016.10.008
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    References listed on IDEAS

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    1. Peter Mayer & Frank Ziegele, 2009. "Competition, autonomy and new thinking: Transformation of higher education in Federal Germany," Higher Education Management and Policy, OECD Publishing, vol. 21(2), pages 1-20.
    2. Kosmützky, Anna & Kretek, Peter, 2012. "Forschung an Hochschulen: Literaturstudie," Studien zum deutschen Innovationssystem 17-2012, Expertenkommission Forschung und Innovation (EFI) - Commission of Experts for Research and Innovation, Berlin.
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    Cited by:

    1. Adam, Edmund, 2020. "‘Governments base performance-based funding on global rankings indicators’: A global trend in higher education finance or a global rankings literature fiction? A comparative analysis of four performan," International Journal of Educational Development, Elsevier, vol. 76(C).
    2. Sarbjeet Kaur & Gurcharan Singh, 2020. "Financial Comparative Analysis of State Public Universities of Punjab," International Journal of Economics and Financial Issues, Econjournals, vol. 10(5), pages 140-144.
    3. Samira El Gibari & Carmen Perez-Esparrells & Trinidad Gomez & Francisco Ruiz, 2021. "Analyzing the Impact of Spanish University Funding Policies on the Evolution of Their Performance: A Multi-Criteria Approach," Mathematics, MDPI, vol. 9(14), pages 1-34, July.

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