<p>As the world's economy shakes and falters, will this have a great or at least a minor impact on people who are applying for boarding school?</p>
<p>Maybe it's why Andover is 100% need-blind this year.</p>
<p>Pay attention to the drop in endowment levels. Andover, Exeter etc will certainly be recession-proof (although mighty unhappy about watching their net worth drop), but Schools with endowments of less than 100MM will be forced to look hard at the amount of financial aid given. It will most definitely have an impact on the composition of the student body.</p>
<p>We've noticed some families who were speaking of private school last year, or even had children in private school, choosing to remain in, or return to, the public system. I don't know how widespread this phenomenon is.</p>
<p>Economy</a> in Turmoil | News | The Phillipian</p>
<p>The article discusses the financial crisis's impact on Andover's endowment and financial aid.</p>
<p>Interesting excerpt:</p>
<p>James Ventre, Director of Financial Aid, said, “The school already has a reconsideration process for any kinds for financial tragedies that a family might incur,” called “Second Review.”</p>
<p>Familes can apply for “Second Review” regardless of their previous financial status.</p>
<p>I've posted on this before, so I don't want to sound like a broken record here, but yes, the financial crisis will have a big impact on the schools. I won't speak for the handful of schools which are "need blind"--but in general, the schools have about 65% full pay kids and 35% on financial aid. Everyone knows that the applications don't come in that evenly---that is, more that 35% of the applicants are applying for aid. So there is always a preference for full pay students.</p>
<p>Now going into the financial crisis, a $40k boarding school year is considered something to cut back on by many wealthy people. Fewer full pay students will be applying to boarding school, but the schools still have to get their 65% full pay students one way or another. The acceptance rate for full pays could get slightly inflated or very inflated depending on the school and its endowment. Boarding schools which traditionally are still scrambling for full pay kids in the late spring and summer, will now face big gaps in enrollment. If it goes on for more than a year, it is likely that some of these schools will close. I have already heard talk/fear of that about a few schools.</p>
<p>Of the few families I have left this year who haven't given up on boarding school completely, I am recommeding that they reach for the stars. It's going to be a very different year.</p>