University financing

Higher-than-inflation increases in student fees since 2009 often are blamed on declining government subsidies to universities. This is not entirely correct, if one considers real per-student subsidies. Fee increases resulted mainly from cost pressures faced by universities due to growing student numbers and a weakening rand. These pressures will not disappear. Eliminating government wastage is not a durable solution and difficult choices cannot be avoided. So, who should pay for increasing costs, students or government – or which combination of these?