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A Systematic Literature Review of Funding for Higher Education Institutions in Developed Countries

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image of Frontiers of Education in China

Resource allocation and funding in higher education is crucial to the success of reform and transformation of our higher education system. With a view to identifying trends and best practices in the area, utilizing a method of systematic literature review, we have critically reviewed relevant theories and practices from developed counties that are covered in the scholarly literature published in English in the past 10 years. Our review has revealed: (1) Several universal trends have exerted a decisive impact on resource allocation in higher education, for example, funding reduction and tuition fee increases, performancebased funding, privatization, corporatization, and internationalization; (2) Several theories underpin key research in the area, for example, new institutional economics, resource dependence theory, and political economy; (3) Several controversial issues have made their way into public debate, for example, higher education as a public good or private good, academic capitalism, educational equity, and the role of econometrics.

Affiliations: 1: Faculty of Health, Education and Humanities, Waiariki Institute of Technology ; 2: China Education Publishing & Media Holdings Co. Ltd. ; 3: Faculty of Health, Education and Humanities, Waiariki Institute of Technology


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