Abstract

Structural development has been one of the most popular Finnish phrases in public debate on higher education (HE) during the last two years of budget cuts. On the one hand, central government is willing to close some institutions and support merger operations and cooperation between the others to increase the efficiency of the HE system. On the other hand, such issues as the role of higher learning and the value of applied research in boosting national economic compatibility are raised both by industrial pressure groups and by politicians in the 'media reality' of newspapers and television. Looking at HE in financial terms, funding in general has declined since 1992. According to the calculations of the Ministry of Education, the HE budget for 1994 is about 11% less than the budget for 1992 (Jippinen, 1993). In real terms, the HE budget has been reduced by 612 million Finn marks (?70 million) during the last two years. Looking at HE from the viewpoint of the academic communities, the issues are emphasised differently. The processes of quality assessment and allocation of decreasing resources are, however, more relevant at the institutional level. It also seems that economic concerns have strengthened awareness of basic academic duties.

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