The rise and fall of the private sector in Portuguese higher education

Abstract

The steering and regulation of Continental European higher education systems remains, in general, dominated by State authorities. However, recent developments in public administration and finance have produced some changes in the traditional role of the State as the sole provider of funding and central regulator for higher education institutions. The idea of a “market” for higher education has also been used, in many countries only in a rhetorical way, but in other countries some market-like mechanisms are actually being employed by governments in order to increase the efficiency and the responsiveness of universities and colleges to societal demands. In Portugal, a very large private sector of higher education has been allowed to develop. By analysing the governmental policies vis-à-vis its results, we arrive at the conclusion that, despite this very large private sector, no “real” market has emerged, and that the simultaneous lack of efficient State regulation has resulted in a situation of deep crisis for the sector.