RIUS' OPERATING REVENUES 



Operating revenues of the research-intensive universities have grown at a strong pace, from $17.9 billion in 

 1975 to $72.8 billion in 1990 (Figure 4). This translates into average nominal annual growth of 9.8 percent (3.9 per- 

 cent in 1987 constant dollars) over the 15-year period. In fact, after-inflation growth was more rapid during much of 

 the 1980s, as the rate of inflation declined. 



The slowest-growing sources of university revenues were Federal and state government funds, along with funds 

 from university-managed FFRDCs, large special programs, and university bookstores and other such enterprises 

 (Figure 5). Funds from hospitals, private sources, endowment, and tuition and fees grew more rapidly. As a result, the 

 composition of revenues underwent a slow but marked shift, whose most pronounced aspect is the decline since the 

 mid-1970s in the share of Federal funding from 19 to 15 percent and state government funding from 29 to 24 percent 

 of total revenues. In recent years, state appropriations growth has continued to slow, and a number of major public 

 research-intensive universities have received decreased state funding, before adjusting to inflation, compared to ear- 

 lier years. 



Figure 4: Operating Revenues of Research-Intensive 

 Universities by Source of Funds 



Billions of dollars 



^H All UUier llic Klidun 



I 1 iiidep- Operalioiis 



I I Auxil. Ealerpnses 



^Hi Hospital 



I I Private 



HH Federal 



^1 Tuilion & Kees 



I ! Slate & Local 



1975 1978 1981 1984 1987 199U 



Figure 5: Shares of Universities' Operating Revenues 

 Conlribiited by Different Sources 

 100% I 



8U" 



60% 



407. '- 



207, 



■■ All UUier inc EiidoK 



L . J [ridep. Operations 



I I Auxil Enteiprises 



^H Hospital 



I I Private 



^^1 Federal 



W^ Tuition «< Fees 



I 1 Stale ti Local 



Suurce Ndltoriul Si leiict FwundiiUuii. suectal IsbuUliuii Iroin 

 DtfparlmenI of Education data (see reference bj 



RIUS: EDUCATION 

 OUTPUTS 



In line with rising enrollments, the number of 

 bachelors degrees awarded by the research-intensive 

 universities has grown as well, from 345,(XX) in 1975 

 to 390,000 in 1990 (Figure 6). But science and en- 

 gineering baccalaureates have declined by 3 percent 

 from their 1985 peak, and bachelors degrees in the 

 natural sciences and engineering have fallen by 20 

 percent. 



In contrast, doctoral degree production of the re- 

 search-intensive universities has increased across the 

 board since the late 1970s; by the late 1980s, the 

 number of doctorates in all fields combined, in the 

 sciences and engineering, and in the natural sciences 



500 



400 



300 



200 



100 



u 



Figure 6: Bachelors Degrees Awarded by 

 Research In tensive Universities 



Thousands of Bachelors Degrees 



Total Sciences and Engineering 



Natural Sciences* and Engineering 



1975 



1 



1978 



-i- 



-H 



1981 



1984 



1987 



' S&E less medical and social scieuces and psychology 



ipecinl taliulatio 

 (see relerence I 



Source. Nutiutiat SLietite Fouiijalioii, special laliulalioji from 

 Department of Education data [at 



500 



400 



200 



100 



10 



1990 



17 



