ECONOMICS - LOOKING GLASS NEWS | |
The Privatization of Our Public Universities |
|
by Ralph Nader Common Dreams Entered into the database on Saturday, August 27th, 2005 @ 19:02:01 MST |
|
Soon millions of parents will be writing tuition checks for their children at
public universities, believing that they are paying much less than the actual
cost of an undergraduate education. Tuition at these public institutions has been going up quickly in the past decade,
reversing the long-held public policy that tax monies should pay for most of the
tuition and the rest of the expenses of public higher education. Quietly year
by year, privatization of a public good has been growing. Public undergraduate tuition at schools such as the University of California
has almost reached a level beyond which parents may be starting to subsidize
teacher research and related graduate education. This is the argument made by
a retired professor of physics (UC Berkeley), Charles Schwartz. First a word about the remarkable Charles Schwartz. For over a decade this
scientist has volunteered thousands of hours pouring over the gigantic multi-billion-dollar
budgets of the University of California; most recently he alleged secret, poor
management of pension and endowment funds. University budgets have few faculty, student or alumni overseers. For one thing
they are very complex to understand; for another, the critical breakdown details
are either not there or are considered confidential. Professor Schwartz, knowing and caring more than anyone else outside of officialdom,
has become the learned hair shirt of the University Administration. He has pointed
out many deficiencies in the annual budget at public meetings with University
officials and on his extraordinary website (http://ist-socrates.berkeley.edu/~schwrtz/).
The University reaction, with few exceptions, has been to ignore his protestations
or to dismiss his figures as attempting to disaggregate the cost of education
in a way that will be of little value. Dr. Schwartz disagrees, in his usual meticulous manner, with a 16 page paper
(posted at http://socrates.berkeley.edu/%7Eschwrtz/UndergradCost.html
). He calculates the actual expenditure for undergraduate education at the
University of California as averaging $6,648 per student with the parents-students
paying 95% of that cost. By contrast, the University officials say the average
cost of such an education is $15,810 per student. He explains the discrepancy due to his disaggregating undergraduate education
from the whole bundle of academic functions, which includes other levels of
education plus faculty research. Unlike for graduate education, he says there
is very little connection between faculty research and undergraduate education.
So why should anyone care about this, asks Professor Schwartz? Because the
state subsidy for UC undergraduate education is almost entirely replaced by
what students or their families are paying for tuition. And if student fees
continue to rise, as is widely expected, then tuition checks will start subsidizing
faculty research and related graduate programs. In short, public university
student tuition may start becoming like private universities where cross-subsidies
have been long standing. After establishing his methodology, Dr. Schwartz lists several anticipated
objections and methodically responds to them. He then argues that student tuition
should not be permitted to rise above the actual cost of their undergraduate
education. Otherwise the undergraduate subsidy begins. "Such a forced subsidization,"
he asserts, "is something that deserves a most serious debate as a matter
of public policy." He believes his research methodology "should be
applicable to any major [public] research university." Dr. Schwartz worries about an emerging vicious circle. As undergraduate student
tuition charges continue their annual increase, qualified lower income students
may not be able to afford them. With the shift to admitting more students from
more affluent families, the state legislatures may reduce their state funding,
which in turn will accelerate the increase in student tuition. He calls this
"a transition - the privatization of undergraduate education at the Public
Universities," leading to greater class stratification and reduced class
mobility. University administrators at Berkeley and elsewhere are not about to change
the bundled accounting system used by their financial managers. But Professor
Schwartz says there should be an open and honest debate about these choices.
"Our duty," he adds, "is to not allow it to remain hidden." |