FED: Funding universities now makes economic sense: UA

AAP General News (Australia)
04-22-2009
FED: Funding universities now makes economic sense: UA

Universities have launched a pre-emptive strike against the federal government ahead
of the May budget .. releasing economic modelling which suggests investing in higher education
would massively boost Australia's GDP.

The government's own Bradley review .. released late last year .. found the commonwealth
needed to boost funding by 6.5 billion dollar over the next five years to stop Australian
universities falling behind their international counterparts.

But Labor has suggested that isn't affordable in light of the current global financial
crisis and funding will have to be staggered.

However Universities Australia says new research it commissioned proves the sense of
investing in education now.

The KPMG study estimates the return on investment in higher education to be 14 to 15
per cent .. double the benchmark set for good investment at the long-term bond rate of
six to seven per cent.

AAP RTV jcd/af/fdf

KEYWORD: UNIVERSITIES (CANBERRA)

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