Strome Business Minute With Dr. Jeff Tanner

Moody’s Investor Service downgraded higher education from stable to negative, warning investors about the potential inability of universities to pay off debt. The downgrade reflects the high costs of moving programs online coupled with likely revenue losses as students withdraw, either unable to move online or unable to pay tuition due to the loss of their own jobs. Add in the instability of the stock market and its damage to university endowments, non-tuition sources of revenue are likely to suffer. The impact of the virus on students is already being felt. Many students work in the hourly-types of jobs that are being laid off, such as in restaurants, retail and the like, leaving them wondering how they’ll survive. To learn more, visit odu.edu/business. This has been a Strome Business Minute, presented by the Strome College of Business at Old Dominion University.