Higher Education: Hubris or Value

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The Issue

Is higher education in America a value adding proposition? We all know the costs associated with it are high. When compared with real wages education cost is rising. Are the costs too high, are students learning too little or maybe they are learning the wrong things?

Is higher education really the best way for most students individually to get the best return for their time, effort and money? What does that mean for society as a whole? Is it time to revisit policy?

Colleges and universities are in a precarious position. There appear to be too many of them based on the number of jobs requiring college level education. Despite higher education’s price tag, today’s students are learning less than ever before. As a result they are under employed.

Federal governmental involvement in academia has been a mostly unsuccessful effort. Universities’ results are far less marketable than what they were claimed to be at the onset of federal government intervention. What government has accomplished is creation of a huge amount non-dischargeable student loan debt. Somehow it feels more like Obamacare than a Horatio Alger story.

Today some of the issues in higher education include: Politically; free speech, academic freedom, culture, gender, race, curricula, governance, diversity and due process. Financially; tuition, collateral costs, admissions and student loans. Practically; Do graduates have the skill sets employers require? Do graduates command wages sufficient to support their education loans?

Things to evaluate

Universities, as Desi used to say to Lucy, “got some splainin’ to do.” Some sort of university reform is likely in the offing. Without better communication of information, it is impossible for taxpayers and governing authorities to ensure that public education spending provides value. Universities need to distance themselves from the perception they benefit mainly the narrow interests of faculty and administrators.

Re-shaping incentives for university management might help to reduce costs and improve quality. Business practice adjustment could reattach profit to motivate efficiency and encourage learning outcomes. Expanding the use of innovations in technology and open online courses seem obvious potential consumer savings. Re-evaluation of rules such as tenure and three-month summer vacations, offer cost control possibilities.

Does it make sense to allocate revenue to departments or professors based on student enrollments in their classes? Is it time for Departments or professors to pay their share of travel, building rental, maintenance, utilities, and other such costs from the revenues they receive? Does it make sense to increase faculty teaching loads?

Does it make sense to provide earnings data by institution, by course of study on former students for; five, ten or fifteen years after graduation? Prospective stakeholders would be assisted in their assessment of value added by the institution.  Should the education model shift to year-round instruction and three-year degrees? Perhaps we should be looking at ending or revising the federal student financial aid programs.

Should grade inflation be eliminated? How about speech codes and other barriers to academic freedom? Does ending affirmative action and related diversity programs make sense? Was there ever really a case to be made for correcting a wrong to one group with a wrong to other groups?

Conclusion:

If higher education in America is a value adding proposition as it is now constructed, then why do we have such high default rates on student loans? Commonsense should be telling us change is required. The amount of bad debt should tell us it is overdue.

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