Abstract
The demographic cliff, the effects of COVID-19, and shifts in regional preferences for higher education pose an important threat to Liberal Arts Colleges (LACs). While other studies have examined the efficiency of top-ranked LACs, this paper examines the colleges most challenged by the current environment. Using Data Envelopment Analysis (DEA) and 6-year graduation rate as the outcome of interest, our results show that the average LAC outside the top 100 ranked schools (according to U.S. News & World Report) operates at about 74 percent efficiency. Many schools within the sample score closer to 50 percent. These rankings are then evaluated as a function of school factors such as location, religious affiliation, varsity sports activity, and enrollment. Results show that suburban LACs with more majors offered, and lower enrollment are more efficient.
Creative Commons License
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License
Recommended Citation
Hall, Joshua C.; Pruitt, Joylynn; and Bonneau, Daniel
(2025)
"Efficiency of Liberal Arts Colleges: A DEA Analysis of Non-Elite LACs,"
American Business Review: Vol. 28:
No.
2, Article 14.
DOI: 10.37625/abr.28.2.635-651
Available at:
https://digitalcommons.newhaven.edu/americanbusinessreview/vol28/iss2/14
DOI
10.37625/abr.28.2.635-651
