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Defeat of higher education bill should ease budget pressures

Andrew Norton writes in The Conversation (19.3.15) that 

‘After a boost to student numbers following the introduction of HECS in 1989, enrolments grew only gradually until rapid increases from 2008. The enrolment boom trigger was the removal, by Labor over 2010-2012, of previous controls on government-supported bachelor degree places in public universities. This is known as demand driven funding.’

He concludes:

‘From my work on demand driven funding, I think it is not perfect but the best system we are likely to get. With modest cuts to per student tuition subsidies, it should be sustainable for the foreseeable future.

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