The present study examines the impact of austerity measures on the academic community. The Technological Educational Institute of Athens served as our case study. It was selected because it is the second largest higher education institution in Greece, and has students of a diverse socio- economic background. Data were obtained through an analysis of institution financial statements and other documents depicting budgets, human resources, infrastructure, in an attempt to study their impact on the resulting quality of education. In addition, through the use of questionnaires we evaluated the impact of austerity measures and the economic crisis on both academic staff and students in relation to their performance, the quality of education, and their plans for educational and professional trajectories. Finally, and given the pending merging or even closure of some departments, faculties and/or institutions throughout the country, we examined the effects on people's attitudes towards educational and research activities.