Sunday, September 23, 2012

Globalization, access, and tuition – creating a worldwide two-class economic system? by Will Coucheron-Aamot


Much has been reported recently about trends in globalization.  Higher education is no different.  But the trend toward globalization in higher education has long term implications for economic potential of the world’s citizens.  For example, Fareed Zakaria (2012) recently wrote a piece on the immigration policies of Japan, the EU, and Canada, with commentary on what the US could learn from these countries.  He highlighted Canada as the country with the best policy toward immigration.

Canada uses a point system to issue immigration visas, and the system is skewed toward skills.  Applicants earn points based on education, languages, and job experience; almost two-thirds of all visas were granted on economic factors.

My concern with this policy is that it favors wealthy individuals who are able to pursue an education.  Once I read this, I envisioned a globally mobile upper class of well-educated citizens, moving around the world to pursue job opportunities while less educated, poorer citizens were left trapped in areas with underperforming economies and limited opportunities.

The issue becomes more critical as we examine trends in higher education.  In the UK, tuition recently increased from GBP 3,200 ($5,300) to GBP 9,000 ($14,600) – tripling tuition costs in a country that only introduced tuition charges in 1998 (Labi, 2010).  In the US, universities are cutting programs, reducing faculty and class offerings, lowering enrollments, and admitting more out-of-state and international students (Kelderman, 2011).  The reductions in overall class size combined with the increase in out-of-state students may force less affluent students to make difficult choices: become an out-of-state student as well, paying higher tuition; or begin the college journey at a community college. 

Community colleges are facing the same challenges as four year institutions, and are uses similar tactics to deal with them: reduced class offerings and class sizes (Kelderman, 2011).  As more and more middle-income students enter community colleges, lower income students may increasingly become locked out of affordable classes they otherwise cannot afford (Pielke Jr, 2011). 

Universities are focusing their enrollment strategies on out-of-state students, especially international students, due to the fees these students pay.  At the University of South Florida, Florida residents paid $5,100 in tuition in 2009-2010 academic year; out-of-state students paid $15,900 (Fischer, 2010).  International students are not eligible for federal educational loans, and frequently pay in cash for their education. 
Critics are worried the reduced overall enrollments and increased non-resident enrollments will reduce diversity on college campuses (Keller, 2009).  Bringing international students may counterbalance this reduction in diversity, but serious concerns exist about this trade off.  Fewer African-American, Latino, and lower socio-economic level students will be admitted, reducing the diversity of American students on campus due to the increased tuition costs and smaller class size (Keller, 2009).  But adding international students to American classrooms will increase intercultural competency and understanding, a concept increasingly important in the world’s intertwined economy (Altbach, 2006).

So what, then, becomes the priority?  Exposing American students to a diverse group of fellow Americans with different racial backgrounds and varying economic levels of success, or to a diverse group of economically successful international students with a variety of cultural backgrounds and experiences?
I would argue that admitting both types of students is the ideal method of providing a dynamic learning environment for our students.  Focusing too narrowly on American students will reduce American students’ exposure to other cultures and other ways of thinking.  Focusing too narrowly on international students will create an educational system benefitting the wealthy class and reinforcing ideas about wealth and productivity.  Bringing both groups together creates an environment in which everyone, including international students, can learn from each other and the wealth of ideas brought forth.

One step toward creating this environment while maintaining college funding is to equalize tuition charges regardless of residency status.  Roger Pielke Jr (2011) advocates a flat tuition rate for students in the University of Colorado (CU) system.  Similar to the University of South Florida, the CU system charges different rates based on residency.  In-state students pay $7,700 per year while out-of-state students pay $29,000 – almost four times as much (Pielke Jr, 2011).  Pielke (2011) advocates moving to a flat tuition rate of $14,000 - a doubling of tuition for in-state students but a halving of rates for non-residents. 

A flat rate tuition system removes the impetus for universities to admit more non-resident students to resolve budget issues, and allows the institution to focus on the students’ academic and extracurricular qualifications.  A flat-rate tuition system will create a more challenging environment for students in the lowest economic ranges, but will also allow universities more room to focus on a student’s academic qualifications and not the dollars the student will bring to the campus.  Flat-rate tuition will not solve all the problems of access in higher education, but it will move us to a more equitable system based on academic ability and not financial ability.

References
Altbach, P.G., & Forest, J.J.F. (2006). International Handbook of Higher Education. New York: Springer.

Fischer, K. (May 2010).  “American Colleges Look to Private Sector for Global Recruiting.” Chronicle of Higher Education. Retrieved from www.chronicle.com.

Kelderman, E. (February, 2011). “As State Funds Dry Up, Many Community Colleges Rely More on Tuition Than on Taxes to Get By.” Chronicle of Higher Education. Retrieved from www.chronicle.com.

Keller, J. (January, 2011).  “California’s Public Colleges Face $1.4 Billion in New Budget Cuts.” Chronicle of Higher Education. Retrieved from www.chronicle.com.

Labi, A. (December 2010). “British Lawmakers Approve Sharp Increase in Tuition in English Universities.” Chronicle of Higher Education. Retrieved from www.chronicle.com.

Pielke Jr., R. (2011).  “The Problem With In-State Tuition.” Chronicle of Higher Education. Retrieved from www.chronicle.com.

Zakaria, F. (2012). “Immigration Lessons for the U.S. from around the World.” CNN. Retrieved from www.cnn.com.



9 comments:

  1. This comment has been removed by the author.

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  2. This post was a great read. Between reading the blog posts, I myself am watching Fareed Zakaria as he talks about the ways in which other countries have managed to keep their unemployment rates at an impressive low. He highlights how The Netherlands are one of the top countries in this category because companies work together to help each other out when one company goes down. Much like the lessons these countries can teach America on employment, they can also teach America about different education policies that would encourage, all institutions of postsecondary education to communicate and work together to solve the scary issues that we are facing today.

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  3. Ah, international students and the tuition bubble...I think the idea to make public universities an equal rate for in-state and out-of-state students would foster more competition amongst domestic students as well as attract more international students. However, in terms of college access, raising tuition for local students could seriously affect college access and enrollment, especially for low-income students. Thought provoking entry though...

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  5. If we look at the benefits of globalization in higher education, we might realize that globalization represents an opportunity for higher education to be challenged both internally and externally to create a more efficient market. In this sense, higher education institutions must be challenged. That said, tuitions cannot continue to grow without economic consequences in the future. On the positive side, globalization can represent an opportunity for higher education to expand and generate new revenues, and stabilize tuition costs. Positively thinking, globalization might represent an opportunity to increase student access and reduce the students' burden with loan debts. It depends on our standpoint of view and how much appreciative and how much aware we are for global issues...
    By Raquel Anderson

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  6. The question of out of state vs. in state tuition is one that has perplexed me for a while, because it has affected me personally. I went to school out of state and many people close to me did/do as well. While I understand that offering lower tuition for in state students has a purpose, I also think it disadvantages many people who want to pursue an education different from what is offered in their home state. In state tuition serves as a way to keep qualified students in the state, in hopes of keeping them there long term to contribute to the state and local economy. Like Megan said above, its also a huge access issue for students in that state. However, I also think about the level and quality of learning that student can achieve my going out of state for school, by trying something out of their comfort zone that is new, challenging, and different. The same way international students and diversity on campuses can increase student learning overall, I think that domestic students can also learn a lot by leaving their homes and going to school somewhere new. Right now, I think many people are deterred from doing this because of the high cost of out of state tuition. The advantages and disadvantages of in state college tuition are important to think about in order to provide students with the best options and best learning experience possible.

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  8. After reading this entry, I can definitely see how flat-rate tuition would benefit out-of-state and international students and foster competition in domestic students, like Megan stated. I also see how increasing enrollment in both populations would add diversity of background, thought, and experiences to universities environments. Besides the increased diversity explanation though, how does flat-rate tuition benefit in-state students? Would need based financial aid increase or just merit based? The way I’m understanding this topic, flat rate tuition would probably work out well if put into effect at a college or university where the difference between regular in-state tuition to the new flat-rate were within reasonable limits. However, at institutions in which in-state tuition would almost double as the new flat-rate, I can definitely see how such a proposition would incite substantial student and general public unrest. I wonder how colleges and universities have implemented these changes in the past (whether they were met with great support or opposition) and what other options are available to gain the same benefits. This is definitely a very interesting subject. Thank you for your blog post Will.
    --Adriana Garcia

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  9. I can see how flat-rate tuition can benefit out-of-state and international students. However, from working at a public institution that is drastically getting the budget cut, I see how charging a different tuition for out-of-state or international students can generate much needed revenue. I have come across many international students that are supported by their governments to student abroad. Many countries are even coming up with ways to "loan" money to students to study internationally. I think that there are more important issues to address such as 1) have international students does not automatically create diversity or foster global perspectives and 2) international students are earning degrees that will probably not help them get a job in the United States and may not be valued at home. How do we work to help international students get their money's worth (whatever they have to pay)?

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