Dive Brief:
- A new working paper from the National Bureau of Economic Research found a 10% reduction in higher ed budget allocations from states resulted in a 12%-17% jump in international student enrollment at public research universities in the U.S., Inside Higher Ed reports.
- The authors found an influx of students from China, in particular, has helped public research universities "buffer changes in state appropriations" since 2004.
- Chinese students have accounted for approximately 90% of the growth of international students at U.S. institutions in the last 12 years.
Dive Insight:
The findings that a drop in funding for public higher education has resulted in increasing enrollment of foreign students — who are not dependent on federal financial aid or other tuition discounts offered by the institution —come as no surprise to those in higher education. What's new here is there is now a quantifiable rate at which this exchange occurs. The admissions balancing game for public research institutions between ensuring they are fulfilling their missions of providing affordable public education for students in the state, while also admitting enough out-of-state and foreign-born students to compensate for the heavy tuition discounting for in-state students is one that many institutions are facing. In many cases, tuition freezes have made it difficult to recoup the money institutions are not receiving from states, while families are already feeling an increased burden.
At a recent roundtable conversation with reporters sponsored by the TIAA Institute, University of Maryland System Chancellor said the cost of educating students has not changed in the last 10 years; what is changed is that decreasing public support has transferred a heavier portion of that cost to individual students and their families.