CHAPTER  I

FINANCIAL  DEVELOPMENT  OF  HIGHER  EDUCATION
Early  Development
The  financial  support  of  higher  education  in  general  during  the
early  years  of  development  cannot  be  identified  separately  from  that  of
the  church  and  religious  Orders.  Scholars  would  get  together  at  a  designated
  meeting  place,  even  on  the  Street  at  times,  to  discuss  topics  of
scholastic  importance.  In  the  early  part  of  the  Middle  Ages,  the  monasteries
  became  meeting  places.  Eventually  the  discussions  were  grouped
under  four  heads:  philosophy,  medicine,  theology,  and  law,  and  it  was
with  this  division  of  learning  and  the  establishment  of  academies  as
meeting  places  for  scholars  that  our  present  day  higher  education  had  its
origin.  The  more  formal  beginning,  however,  was  with  the  establishment
of  the  University  of  Bologna  in  1158,  which  later  became  famous  for  its
courses  in  law.  Universities  had  existed  before  this  date,  but  Bologna
was  the  first  to  which  a  university  charter  was  granted.  To  Frederick
Barbarossa  is  due  the  distinction  of  being  the  first  person  to  establish  a
university  in  a  formal  way.  He  not  only  granted  a  charter  to  the  University ­
  of  Bologna  but  bestowed  his  protection  upon  it  and  conceded
Privileges  to  it  as  well. 1
The  Spread  of  the  University  Idea
During  the  next  five  hundred  years  similar  institutions  spread
throughout  Europe  and  the  British  Isles,  and  it  is  from  this  beginning
that  the  present  university  and  College  Institution  has  developed.  They
were  at  first  known  as  academies  and  in  Germany  a  type  known  as  “manual
labor  institutes”  developed  for  the  training  of  teachers.  The  idea  of  the
“manual  labor  institute”  spread  to  the  United  States  as  late  as  1825-1840
and  was  the  nucleus  of  some  of  the  institutions  of  higher  learning  which
are  still  in  existence  in  this  country.  Oberlin  College  at  Oberlin,  Ohio,
started  in  this  way. 1  2
Motives  in  Higher  Education
At  first  education  combined  spiritual  and  secular  training  with  the
emphasis  on  the  former.  Hence  religious  Orders  were  closely  involved
and  practically  the  entire  financial  support  came  from  the  church.  Eittle
1  F.  P.  Graves—“Evolution  0 f  Our  Universities”,  School  and  Society,  Vol.  8,  pp.  691-702.
2  Paul  Monroe—History  of  Education,  p.  723.
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