FINANCIAL ISSUES FACING HUNGARIAN UNIVERSITIES IN THE 1990's: CONTAINING COSTS AND ENHANCING REVENUES

This article, by the Chancellor of a major American university system, proffers advice and suggestions as to how the Hungarian higher education system, particularly the universities, can reform and adapt to the market economy and the liberal democratic institutions which Hungary is in the process of creating for itself. Beginning with a consideration of the basic components of the costs of higher education, it moves on to a discussion of the macro isssue of the cost and the financing of higher education, and then analyses six cost issues facing Hungarian universities. Suggestions both for cost containment and for funding are presented and analysed.