Johns Hopkins to Cut More Than 2k Workers Funded by Federal Aid
nytimes.com
nytimes.com
But fear not! we'll all reap the benefits of a reduced tax rate for top earners and corporations, thanks to trickle down economics, right?
Universities are legally obligated to spend endowment money according to the terms set by the funders (https://www.investopedia.com/terms/e/endowment.asp).
Unrestricted endowment is typically a tiny percentage of most universities endowments.
Shortfalls of $800M a year would run down even large endowments to near zero in 10-15 years.
In addition to the domestic workers mentioned in the article (e.g. the folks who regularly clean office and labs), many major universities have now put a freeze on capital spending including building and renovations. This is going to hit tradespeople and contractors hard and the economic ripples are going to be felt state and countrywide.
Many states will be looking at an annual economic loss of billions of dollars. Couple that with the impact of stupid tariffs and it all seems tailor made to drive the country into recession...