U.S. Higher Education:  Universities, Government and Business

Higher Education in the US todayHigher Education in the US today 17.5 million students (including 671,616 foreign students)

Over 4000 degree-granting institutions• Private and public/“state” institutions.

– “State” schools (California, Texas, etc) – generally larger, lower tuition, even lower for “in state” residents

• Secular and religious• Accredited and non-accredited

Degrees• Undergraduate

– Associates degree (community/junior colleges); – Bachelors degree (4-year school) ;

• Graduate (law school, medical school, MBA programs, Masters and PhD programs

Unemployment rate Education attained Median weekly earningsin 2008 (Percent) in 2008 (Dollars)

2.0% Doctoral degree $1,555 1.7 Professional degree 1,522 2.4 Master's degree 1,228 2.8 Bachelor's degree 978 3.7 Associate degree 736 5.1 Some college, no degree 645 5.7 High-school graduate 591 9.0 Less than a high school diploma 426

Note: Data are 2008 annual averages for persons age 25 and over. Earnings are for full-time wage and salary workers.

Source: Bureau of Labor Statistics, Current Population Survey.

Education pays… Education pays… (2008 pre-economic crisis statistics)(2008 pre-economic crisis statistics)

Annual Cost of Higher EducationAnnual Cost of Higher Education

•Tuition

–Undergraduate: $5000-$25000 per year

–Graduate: $15000-$25000

•“Room and Board” (housing and food): $3000-8000

•Insurance: $500-1000

•Books: $500-1500

•Travel

•Etc…

How to pay for a university education?

•Savings (student’s/family’s)

•Job while studying

•Scholarships (merit-based, need-based, athletic)

•LOANS

Role of National Government in Role of National Government in Higher Education: MINIMALHigher Education: MINIMAL

An independent Department (=Ministry) of Education established in 1980 under President Jimmy Carter.

•Education system decentralized = higher education institutions largely autonomous

–University normally accredited through 1 of 6 regional accrediting bodies (peer review process). Professional bodies accredit schools for doctors, lawyers, MBAs, etc.

•Support from federal (national/central) government to varying degrees for:

–Financial assistance to students, including loans

–Research & Development (R&R)

–Exchange programs (Fulbright Program, Muskie Program, etc.)

Funding of Higher EducationFunding of Higher Education--General----General--

• Public elementary, junior high, and high schools (ages 5-18) – responsibility of state government (California, Texas, etc), which might rely on property tax.

• Sources of funding for higher education: – tuition from students (paid from family savings, work, loans,

etc, if student does not receive scholarships)

– donors and (in case of some private institutions) large endowments

– government• Public institutions: state government is main source

• Private institutions: perhaps some funding from state or federal government for research

Funding of Higher Education Funding of Higher Education --State of California----State of California--

• Public higher education in California (CA)– University of California system (Berkeley, San Diego, etc)

– California State University system

– California Community College system

• Over 2 million full-time or part-time students

• Sources of funding for public higher education in CA ($19.5 billion in 2005-06):– $9.0 billion from “General Fund (state government’s budget).

This equals 12% of all state expenditures.

– $1.5 billion through local taxes

– $2.0 billion from student fees/tuition

– $7.0 billion from federal and other funds

Role of Business in Higher EducationRole of Business in Higher Education Expectation that firms and business associations will be good

“corporate citizens” (which is also good for business)

•Donate money to school (for scholarships, research, other academic activities, campus buildings, sports, cultural events, etc)

•Give employees time off to teach courses

•Advise university what knowledge and skills that are needed in real world (and that will make school’s alumni more employable)

•Provide internships/part-time jobs to students

•Maintain ties with Career Services Center/actively recruit alumni

Attracting Student ApplicantsAttracting Student Applicants

Universities actively compete for students.

• Solid, high-quality education. (“Liberal arts” tradition.)

• Lower student-professor ratios = greater attention paid to each student

• Campus life, extracurricular activities, sports, culture

• Scholarships: merit-based, need-based, sports, etc.

• Practical course load/program that might include internships/externships (making individual “marketable”)

• Employment after graduation– Career Services Center for graduating students/alumni

– Networking among alumni

Typical Organization of a Typical Organization of a Higher Education InstitutionHigher Education Institution

Board of Trustees

Provost

President

Dean of Human Resource

Deans of Schools

(College of Arts & Sciences,

Business School, Law School, etc) Financial Aid

Office

Dean of Admissions

Alumni Affairs Office

Dean of Students

Members of the Board of TrusteesMembers of the Board of Trustees

Membership differs according to university charter.

Can include:

• Alumni

• Faculty and student representatives

• Donors

• Members of the local community

• Representatives of business

Sometimes include:

• Elected officials/politicians (ex officio), e.g., governor

Functions of the Board of TrusteesFunctions of the Board of Trustees

In legal terms, the board of trustees is the owner of university, as well as governing body.

• Develop and approve institution’s mission statement, general policies and goals, etc.

• Make decisions on degree programs and curriculum

• Approve budget

• Select president of institution (to manage day-to-day running of the university) and monitor president’s stewardship of the school

Note: One major responsibility of president is fundraising, i.e., to obtain support from donors (corporations, rich alumni, foreign governments, etc).

Admissions process

• Independent standardized tests• Applications, including recommendations, essays,

etc.• Interviews, usually conducted by alumni who

submit report to Office of Admissions

Other Important Elementsof Higher Education in the U.S.

• “Liberal arts (and science)” tradition

• “Major” and “minor” – area of concentration

• Requirements and electives

• Syllabus for each course, spelling out expectations

• Attendance and participation

• Exams and papers

• The library – center of the university

• Clear criteria for graduation/degree

EXTRA SLIDES

US higher education:19th century - Shift in Focus

• Before 1860 – U.S. followed British and German models: “classic” education, research programs, plus medical and law schools

• 1860 –1940 – steady introduction of applied knowledge courses/programs with practical, real world application:

– business/entrepreneurship;

– public health;

– agriculture;

– engineering

– etc.

Honors Code

• Often jointly developed by students and professors• Regulates Student – Teacher relationship • Identifies standards for student ethics• Identifies standards for instructors’ ethics• Regulates procedures for dispute resolution• Enforces through established procedures, usually

by a student court or jury

Accreditation of educational institutionsAccreditation of educational institutions

Independent Field Commissions,

approved by the Department of Education

Includes representatives from:

• Educators

• Government officials at state-level

• Businesses

Process of AccreditationProcess of Accreditation

• Candidate institution prepares report

• Independent commission makes initial evaluation

• Independent experts visit the institution

• Experts report to the accreditation commission

• Educational institution receives the final report

• Commission makes decision on accreditation

History of US higher education : expanding opportunities

• XXXX – women first allowed to attend universities, though many institutions segregated by gender until the 1960s and 1970s.

• 1944 – Passage of the “G.I. Bill” – Congress grants free university education to military veterans. (Still exists.)

• 1960 – founding of the first “community colleges.” • 1960s – more minority students granted admission to formerly

segregated universities during the Civil Rights movement.