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well it sounds right because the economy might have pinched the med school funds. Since the state funds the medical school essentially covering a huge portion of instate tuitions I'm sure that the state might have asked for some cuts from the medical school because there's like a huge budget crisis for the state. Their cutting pretty basic things just from public schools like teaching children spanish in Middle School (At least their strongly considering it).
There will be the same number of seats. The number of seats they would have to cut for it to make a significant difference in their budget would not be worth it. They would cut down in other areas before they cut seats. Although the state subsidizes in-state tuition, tuition is still a source of revenue for the school. They would trim non-revenue generating expenditures, like overhead, first. IMO anyway.