Higher Education Inquirer : wealth and want

Showing posts with label wealth and want. Show all posts

Monday, November 4, 2024

Can the newly formed PA Board of Higher Education do much for the People?

In 2024, Pennsylvania has formed a state Board of Higher Education. Can the organization create value for all its citizens and improve the Quality of Life for Pennsylvanians, or is it just another layer of bureaucracy whose major role is to maintain the status quo?

The Pennsylvania Board of Higher Education is composed of 21 members, representing postsecondary education, government, business, labor and students. Some schools like Penn State, Pitt, and Temple each have a representative. Other institutions, like the state's 15 community colleges and 10 PASSHE schools are represented by one person.

The University of Pennsylvania ($20.9 billion endowment and 1,085 acres of urban property), Carnegie-Mellon University ($2.7 billion and 157 acres of urban property), and other elite private schools are not represented and stand apart from the oversight.

What's the Mission?

There is no mention about how this new Board can make a difference. No progressive ideas or policies have been introduced other than that the organization seeks to ensure that there is no undue competition among the schools.

Wealth and Want in PA Higher Education

Pennsylvania has more than 150 colleges, universities, and technical schools. They are all connected by a harsh economic system that promotes increasing wealth and want. Pennsylvania's immense wealth is illustrated in a handful of elite and brand name colleges and universities primarily in and around its two major urban areas: Philadelphia and Pittsburgh. And wealth is demonstrated in their endowments and real estate holdings.

University of Pennsylvania: $20.9 billion and 1,085 acres of urban property

Pennsylvania State University: $4.44 billion and 22,484 acres of property statewide

Carnegie-Mellon: $2.7 billion and 157 acres of urban property

Thomas Jefferson University: $2.3 billion and 100 acres of urban property

Swarthmore: $2.2 billion and 425 acres of suburban property

Lehigh University: $1.8 billion and 2350 acres of suburban property

Bryn Mawr College: $1.6 billion and 135 acres of suburban property

Villanova University $1.5 billion and 408 acres of suburban property

University of Pittsburgh: $1.1 billion and 132 acres of suburban property

Drexel University: $1.1 billion and 96 acres of urban property

Lafayette College: $1 billion and 340 acres of suburban property

Bucknell: $1 billion and 450 acres of suburban property

Duquesne University: $1 billion and 50 acres of urban property

Temple University: $750 million and 115 acres of urban property

Haverford University: $643 million and 216 acres of suburban property.

Washington and Jefferson: $380 million and 60 acres of small-town property

Widener University: $90 million and 216 acres of urban property

The differences between life outside of Penn, Temple, and Drexel and other parts of Philadelphia (North and West Philly) are stark. And the Philadelphia suburbs that include some of the elite schools are reflective of wealth, power, and prestige. Scenes of wealth and want are also apparent in and around Pittsburgh.

State universities outside of these urban and suburban areas, aside from College Park, have been declining for more than a decade. The Community College of Philadelphia, a career lifeline for the working class, has one of the lowest graduation rates in the US. The same goes for Harrisburg Area Community College. Pennsylvania also has Lincoln University and Cheyney University of Pennsylvania: two Historically Black Colleges and Universities that have been historically underfunded and serve as lasting symbols of resistance against white supremacy, an ideology still deeply embedded in Pennsylvania's society and economy.

PA Economy: Growing Inequality and Rural Decline

Pennsylvania's economy is diverse yet unsustainable. It consists of traditional industries such as manufacturing and agriculture as well as healthcare, energy, technology, and education. Healthcare (reactive medicine) and energy (fossil fuels), in particular, are expensive for the state and expensive the planet.

The problems in Pennsylvania's higher education system extend beyond the schools represented in the new Board. These economic and social problems are persistent and worsening for the working class. Pennsylvania's population is stagnant, increasing slightly in urban areas and declining in rural areas.

There is also a demographic cliff with Baby Boomers reaching their 80s (and greater disability) and fewer children being born in the Commonwealth. Children living with Asset Limited, Income Constrained, Employed (ALICE) families is 41 percent.

Savage Inequalities in K-12 Education

Pennsylvania has some of the widest education gaps in the country. A national study found Pennsylvania at the bottom of all states in school funding fairness. Among the 50 states, Pennsylvania ranked 49th in the Black-white opportunity gap, 50th in the Hispanic-white opportunity gap, and 49th in the gap between students from low-income families and their wealthier peers.

Unequal Wealth Distribution

Pennsylvania is one of the most unequal states in the country, with the top 1% of earners making 21.7 times more than the bottom 99%.

The richest people in Pennsylvania are Jeff Yass ($29B), Michael Rubin ($11.5B), Victoria Mars ($9.7B), Arthur Dantchik ($7.3B), Thomas Hagen ($5.2B), Jeff Lurie ($4.9B), Maggie Hardy ($4.1B), Mary Alice Dorrance Malone ($3.7B), John Middleton ($3.7B), and Thomas Tull ($2.9B).

The average income of the top 1% is $1,100,962, compared to $50,830 for the rest of the state. Income inequality in Pennsylvania has been worsening since the 1970s. The richest 5% of households have incomes that are 11.7 times larger than the bottom 20%.

Over half of Pennsylvania's wealth is concentrated in six counties: Montgomery, Allegheny, Bucks, Chester, Delaware, and Philadelphia. The wealthiest county is Chester, with a median household income of $104,161 in 2020.

Regressive Tax Structure

Pennsylvania has a flat tax rate of 3 percent, and its corporate tax rate is a flat 8.49 percent and falling. The combined state personal income tax and local earned income tax led to Pennsylvania having the 18th highest income tax burden. Pennsylvania ranked 25th for its total per capita property tax burden. New Jersey, New York, and Maryland had a higher tax burden in both comparisons.

Mass Incarceration for Social Control, Deaths of Despair

Pennsylvania has the highest incarceration rate in the Northeast and the second highest rate in the country when including people on probation or parole. And its correctional system spends nearly $3 billion annually. Black adults make up 46% of Pennsylvania's prison population, even though they only make up 11% of the state's population. The flip side of the coin, deaths of despair (suicide, drug overdoses) are common among the working class in rural and urban areas.

Wednesday, September 25, 2024

Wealth and Want Part 2: Continued University Expansion and Displacement of Others

In Wealth and Want Part 1 we briefly mentioned the origins of university wealth, including generations of land theft and the use of forced labor. The origins of elite universities and large flagship universities in the 17th through 19th centuries came largely from the exploitation of others and of the environment. This exploitation continues today, not just through their endowments, but in the real estate that universities continue to take for their advantage, often at the expense of their neighbors.

Harvard University: The expansion of Harvard University in the 19th century led to the displacement of African American residents from the neighborhood of Roxbury.

Columbia University: In the 19th century, Columbia University's expansion contributed to the displacement of residents from Morningside Heights.

University of Chicago: The University of Chicago's expansion in the late 19th century led to the displacement of residents from the Hyde Park neighborhood.

Stanford University: Stanford's expansion in the late 19th century led to the displacement of Native American Ohlone people from the Palo Alto area.

University of Michigan: In the late 19th century, the University of Michigan's expansion contributed to the displacement of residents from Ann Arbor's Old West Side neighborhood.

University of Texas at Austin: The university's expansion in the early 20th century led to the displacement of residents from the East Austin neighborhood.

University of California, Berkeley: The university's expansion in the 20th century contributed to the displacement of African American residents from the West Berkeley neighborhood.

Elite universities during the Great Depression were generally able to weather the storm better than many other institutions. However, they were not entirely immune to the economic hardships of the time. Here's a breakdown of how they fared.

Endowment Funds: Many elite universities had substantial endowment funds, which provided a crucial financial cushion during the Depression. These funds allowed them to maintain their operations and continue offering high-quality education.

Reduced Enrollment: Despite their financial advantages, most elite universities experienced a decline in enrollment as families struggled to afford tuition. This decrease in revenue put pressure on their budgets.

Faculty Salaries: Some universities had to reduce faculty salaries or even lay off staff to cut costs. However, many institutions were able to maintain their core faculty and avoid significant cuts.

Government Support: In some cases, elite universities received government support, such as grants or contracts, to help them weather the economic downturn.

Alumni Donations: Alumni donations played a vital role in supporting elite universities during the Depression. Many alumni felt a strong sense of loyalty to their institutions and were willing to contribute financially to help them through difficult times.

The expansion of elite universities has continued. Here are some examples.

University of Virginia: In the 1960s and 70s, the University of Virginia's expansion led to the displacement of residents from the Vinegar Hill neighborhood, a predominantly Black community.

Old Dominion University: In Virginia, Old Dominion University's expansion has displaced Black families in the Lambert's Point neighborhood.

New York University: NYU's expansion in New York City has contributed to rising rents and gentrification, pushing many longtime residents out of their neighborhoods.

University of California, Los Angeles (UCLA): UCLA's expansion has contributed to rising housing costs and gentrification in surrounding neighborhoods, leading to the displacement of many low-income residents of color.

University of Southern California (USC): USC's expansion has contributed to rising housing costs and gentrification in surrounding neighborhoods, leading to the displacement of many low-income residents of color.

University of Michigan: The University of Michigan's expansion in Ann Arbor has led to rising housing costs and gentrification, displacing many long-time residents, including people of color.

University of Texas at Austin: The university's expansion has contributed to rising housing costs and gentrification in Austin, leading to the displacement of many low-income residents, including people of color.

University of Pennsylvania: The expansion of Penn has contributed to increased demand for housing and commercial space, driving up prices. This has made it difficult for many long-time residents to remain in the neighborhood.

Temple: Temple's expansion has also played a role in gentrification, as the university has attracted more students and faculty, leading to increased demand for housing and services.

University of North Carolina at Chapel Hill: The expansion of UNC-Chapel Hill led to the displacement of residents from the segregated Black neighborhood of Black Hill.

University of Georgia: The expansion of the University of Georgia contributed to the displacement of residents from the African American neighborhood of Athens Terrace.

Louisiana State University: LSU's expansion in Baton Rouge has contributed to rising housing costs and gentrification, leading to the displacement of many low-income residents of color.

Johns Hopkins: The expansion of Johns Hopkins in Baltimore has contributed to rising housing costs and gentrification in the surrounding neighborhoods. This has made it difficult for many long-time residents to remain in the area.

Vanderbilt: In Nashville, Vanderbilt's expansion has also contributed to gentrification. The university's growth has attracted more students, faculty, and staff, leading to increased demand for housing and services, which has driven up prices.

Georgetown University: Georgetown's expansion has contributed to the gentrification of the Georgetown neighborhood, leading to rising housing costs and the displacement of many long-time residents.

George Washington University: GWU's expansion has also played a role in gentrification, particularly in the Foggy Bottom and West End neighborhoods.

American University: AU's growth has contributed to rising housing costs in the Tenleytown neighborhood.

Saturday, September 14, 2024

Credential Inflation Makes College Degree Not Worth The Cost (Randall Collins)

[Editor's note: This article first appeared in Randall Collins' blog The Sociological Eye.]

Belief in the value of college education was sacrosanct throughout most of the 20th century. In the early 2000s, the question began to be raised whether the payoff in terms of a better-paying job was worth the cost. For several generations, almost a taboo topic--but once out in the open, an increasing percentage of the US population has concluded a college degree is not worth it.

The first big hit was the 2008 recession, when graduates found it hard to get jobs. But even as the economy recovered and grew, faith in college degrees has steadily declined.

In 2013, 53% of the population—a slim majority, agreed that a 4-year degree gives “a better chance to get a good job and earn more income over their lifetime.” In 2023, education-believers had fallen to 42%, while 56% said it was not worth the cost. Both women and men had turned negative in the latest survey—even though women had overtaken men in college enrollments in previous decades. The youngest generation was the most negative, 60% of those aged 18-34. Not surprisingly; they are the ones who had to apply to dozens of schools, a rat-race of test scores, scrambling for grades, and amassing extra-curricular activities; most not getting into their school of choice, while paying constantly rising tuition and fees, and burdened with student-loan debt into middle age. Not to mention the near-impossibility of buying a house at hugely inflated prices, many still living with their parents; while all generations now agree that the younger will not enjoy the standard of living of their parents.

The only demographic that still thinks college has career value are men with a college degree or higher, who earn over $100,000 a year. They are the only winners in the tournament. Every level of education—high school, junior college, 4-year college, M.B.A. or PhD or professional credential in law, medicine, etc.—has value as an entry ticket to the next level of competition for credentials. The financial payoff comes when you get to the big time, the Final Four so to speak; striving through the lower levels is motivated by a combination of American cultural habits and wishful thinking.

The boom-or-bust pattern of rising education makes more sense in long-term perspective. For 100 years, the USA has led the world in the proportion of the population in schools at all levels. In 1900, 6% of the youth cohort finished high school, and less than 2% had a college degree. High school started taking off in the 1920s, and after a big push in the 1950s to keep kids in school, reached 77% in 1970. Like passing the baton, as high school became commonplace, college attendance rocketed, jumping to 53% at the end of the 1960s—there was a reason for all those student protests of the Sixties: they were suddenly a big slice of the American population. By 2017, 30% over age 24 had a college degree; another 27% had some years of college. It has been a long-time pattern that only about half of all college students finish their degree—dropping out of college has always been prevalent, and still is.

The growing number of students at all levels has been a process of credential inflation. The value of any particular diploma—high school, college, M.A., PhD—is not constant; it depends on the labor market at the time, the amount of competition from others who have the same degree. In the 1930s, only 12% of employers required a college degree for managers; by the late 1960s, it was up to 40%. By the 1990s, an M.B.A. was the preferred degree for managerial employment; and even police departments were hiring college-educated cops. In other words, as college attendance has become almost as common as high school, it no longer conveys much social status. To get ahead in the elite labor market, one needs advanced and specialized degrees. In the medical professions, the process of credential-seeking goes on past age 30; for scientists, a PhD needs to be supplemented by a couple of years in a post-doctoral fellowship, doing grunt-work in somebody else’s laboratory. In principle, credential inflation has no end in sight.

An educational diploma is like money: a piece of paper whose value depends inversely on how much of it is in circulation. In the monetary world, printing more money reduces its purchasing power. The same thing happens with turning out more educational credentials—with one important difference. Printing money is relatively cheap (and so is the equivalent process of changing banking policies so that more credit is issued). But minting a college degree is expensive: someone has to pay for the teachers, the administrators, the buildings, and whatever entertainments and luxuries (such as sports and student activities) the school offers—and which make up a big part of its attraction for American students. And all this degree-printing apparatus has been becoming more expensive over the decades, far outpacing the amount of monetary inflation since the 1980s. Colleges and universities (as well as high schools and elementary schools) keep increasing the proportion of administrators and staff. At the top end of the college market, the professors who give the school its reputation by their research command top salaries.

Credential-minting institutions have been able to charge whatever they can get away with, because of the high level of competition among students for admission. Not all families can afford it; but enough of them can so that schools can charge many multiples of what they charged (in constant dollars) even 30 years ago. The result has been a huge expansion in student debt: averaging $38,000 among 45 million borrowers; and including 70% of all holders of B.A. degrees. Total student debt tripled between 2007 and 2022.

These three different kinds of inflation reinforce each other: inflation in the amount of credential currency chasing jobs in the job market; inflation in the cost of getting a degree; inflation in student debt. We could add grade inflation as a fourth part of the spiral: intensifying pressure to get into college and if possible beyond, has motivated students to put pressure on their teachers to grade more easily; in public schools, to pass them along to the next grade no matter their performance (retardation in grade, which in the 1900s was common, has virtually disappeared); in college, GPA-striving has a similar effect. Grades are higher than ever but the measured value of the contents of education, ranging from writing skills to how long the course material is remembered after the course is over is low (Arum and Roksa 2011, 2014). College degrees are not only inflated as to job-purchasing power; they are also inflated as a measure of what skills they actually represent.

The remedies suggested for some of these problems--- such as canceling student debt by government action—would temporarily relieve some ex-students of the burden of paying for not-so-valuable degrees. But canceling student debt would not solve the underlying dynamic of credential inflation, but exacerbate it. If college education became free (either by government directly picking up the tab; or by canceling student debts), we can expect even more students to seek higher degrees. If 100% of the population has a college degree, its advantage on the labor market is exactly zero; you would have to get some further degree to get a competitive edge.

Scandals in college admissions are just one more sign of the pressures corroding the value of education. College employees collude with wealthy parents to create fake athletic skills, in a time when students apply to dozens of schools, and even top grades don’t guarantee admission. Since athletics are a big part of schools’ prestige, and are considered a legitimate pathway to admission outside the grade-inflation tournament, it is hardly surprising that some try that side-door entry. There is not only grade inflation, but inflation in competition over the pseudo-credentials of extracurricular activites and community service. Efforts at increasing race and class equity in admissions increase the pressure among the affluent and the non-minority populations. Since sociological evidence shows that tests and grades favour children of the higher classes (whose families provide them with what Bourdieu called cultural capital), there are moves to eliminate test scores and/or grades as criteria of admission. What is left may be letters of recommendation and self-extolling essays--- what we might call “rhetorical inflation”, plus skin color or other demographic markers; but the result will do nothing to reduce the inflation of credentials. The underlying hope is that giving everybody a college degree will somehow bring about social equality. In reality, it will just add another chapter to the history of credential inflation.

Except for the small percentage of really good students who will take the tournament all the way to the most advanced degrees and become well-paid scientists and professionals, the growing disillusionment with the value of college degrees will result in more and more people looking for alternative routes to making a living. The big fortunes of the last 40 years--- the age of information technology—have been made by entrepreneurs who dropped out to pursue opportunities just opening up, instead of waiting to finish a degree. The path to fame and fortune is not monopolized by the education tournament. For the rest of us, finding more immediate ways of making a living (or living off someone else) will become more important.

P.S. The advent of Artificial Intelligence to write students’ papers, and other AI to grade them (not to mention to write their application essays and read them for admission) will do nothing to raise the honesty and status of the educational credential chase.

References

“More Say Colleges Aren’t Worth the Cost.” Wall Street Journal April 1, 2023 (NORC-Wall St. Journal survey)

Average Student Loan Debt (BestColleges.com)

U.S. Bureau of the Census

Randall Collins. 2019. The Credential Society. 2nd edition. Columbia Univ. Press.

Richard Arum and Josipa Roksa. 2011. Academically Adrift: Limited Learning on College Campuses. Chicago: University of Chicago Press.

Richard Arum and Josipa Roksa. 2014. Aspiring Adults Adrift: Tentative Transitions of College Graduates. Chicago: University of Chicago Press.

Wednesday, July 31, 2024

The American K-12 Pipeline: Inequality and Injustice Start Here

The American education system promises equal opportunity for all. However, that promise is far from reality. The K-12 system, the foundation of this educational pyramid, is riddled with inequalities that create a segregated pipeline towards higher education and future careers. This report delves into the systemic issues within K-12 education and their far-reaching consequences.

Under a Trump-Vance Administration, we should expect these inequalities to widen, with more resources going to those who need it least--and fewer resources going to families and communities that need it most. Furthermore, we should expect even less oversight of federal dollars for programs meant for working class communities that may or may not work, including charter schools, online education for kids, and exclusively online teacher education. This could further harden the US class system, making social mobility even more caste-like.

Inequality in the K-12 System

Funding disparities plague the K-12 system. Wealthy school districts often boast smaller class sizes, newer facilities, and access to advanced coursework, while schools in low-income areas struggle with overcrowding, outdated resources, and a lack of qualified teachers. This uneven distribution of resources creates a significant achievement gap, leaving students from disadvantaged backgrounds unprepared for higher education.

Impact on Higher Education

The consequences of K-12 inequality ripple through the entire educational spectrum. Students from under-resourced schools are less likely to meet the admissions requirements for competitive colleges and universities. This disproportionately affects students from low-income families, limiting their access to prestigious institutions and the professional networks they cultivate.

Community Colleges: Community colleges often serve as a steppingstone for students seeking to transfer to four-year institutions. However, the poor preparedness of students from unequal K-12 systems lead to lower completion rates at community colleges.
Regional State Universities: Regional state universities, known for their affordability, become less accessible to students who require extensive remedial coursework due to inadequate K-12 preparation.
Flagship Universities: Flagship universities, the crown jewels of state university systems, become even more exclusive for students from working class backgrounds. The mission of these schools to educate folks from the state is no longer its exclusive or even primary goal. International students who pay greater tuition, or serve as skilled academic labor, are favored.
Elite Universities: Elite universities, with their highly selective admissions processes, remain largely out of reach for those without the academic foundation provided by well-funded K-12 schools.

Regional, State, County, and Local Disparities

The quality of K-12 education can vary dramatically within a single state, county, or even city. Wealthy suburbs often have superior schools compared to their urban counterparts. Rural areas may face challenges in attracting and retaining qualified teachers. These regional and local discrepancies exacerbate existing inequalities.

Demographic Changes

The United States is experiencing significant demographic shifts. The K-12 system needs to adapt to cater to an increasingly diverse student population with varying needs. This includes:

Immigrant Populations: A growing number of students come from families where English may not be the primary language at home. Schools need resources to support these students and ensure their success.
Social Class: Students from low-income backgrounds often have limited access to educational opportunities outside of school, further widening the achievement gap.
Race and Ethnicity: Students of color are disproportionately enrolled in under-resourced schools, creating a system that perpetuates racial and ethnic disparities in educational attainment.

Impact on Employment Opportunities

The unequal K-12 pipeline has a direct impact on opportunities for gainful employment. Students who lack a strong educational foundation are more likely to enter low-paying jobs with limited upward mobility. This cycle of educational disadvantage translates into economic disadvantage, limiting opportunities for social mobility.

The Perpetuation of Poverty and Other Issues

Unequal access to quality education is intricately linked to a web of social issues. Poverty, near poverty, and mass incarceration are more prevalent among those with lower levels of education. Limited opportunities can lead to deaths of desperation, a term encompassing suicides and deaths due to preventable health conditions brought on by chronic stress. Conversely, those who navigate the unequal K-12 pipeline successfully are more likely to accumulate wealth, further widening the gap between the rich and the poor.

Thursday, July 18, 2024

The Degowning of America: A List of College Towns (And Towns with Colleges) Facing Financial Challenges

The decline of college towns (and the decline of towns with colleges) has been reported on for years, but there has never been a comprehensive list to illustrate the extent of this phenomenon we call the de-gowning of America. The schools include small private colleges, community colleges, HBCUs, and state universities that are not flagship institutions.

The Hollowing Out of America

Like steel towns, mill towns, fishing towns, mining towns, and prison towns that have faced economic and population declines, these towns face challenges as the colleges and universities they have supported are struggling--and in some cases are closing or have closed.

Some of these college towns will adapt well, especially if there are other businesses in the area, wealthy communities are nearby, and real estate is valuable. Others will muddle on. Some are in financial trouble and will face an exodus.

Elite schools like Williams College are doing well but may not be paying sufficient taxes, and folks are leaving. State university systems, like the University of Wisconsin, have closed branch campuses in order to save money as austerity occurs. Working-class towns, like Johnstown (PA), Flint, and Youngstown, previously known as industrial centers, will have to adapt again.

The Financial Elites Know

We have no doubt that the financial industry (from banks to bond raters) has detailed proprietary data. Data that they can use for their advantage and the disadvantage of others. EY, for example, keeps tabs on the financial status of colleges and universities. Moody's, Standard & Poor's, and Fitch Ratings assess higher education institutions and municipal bonds.

This list is not exhaustive, and it may be controversial, but it is a start to a conversation that needs to occur. We welcome your comments and feedback.

Keene, NH (Keene State University)
Poultney, VT (Green Mountain College)
Williamstown, MA (Williams College)
Alfred, NY (Alfred University)
Aurora, NY (Wells College)
Fredonia, NY (SUNY Fredonia)
Oneota, NY (SUNY Oneota and Hartwick College)
Bloomsburg, PA (PA System)
California, PA (PA System)
Cannonsburg, PA (Washington and Jefferson College)
Clarion, PA (PA System)
Edinboro, PA (PA System)
Hazleton, PA (Penn State)
Huntingdon, PA (Juniata College)
Indiana, PA (PA System)
Lock Haven, PA (PA System)
Mansfield, PA (PA System)
McKeesport, PA (Penn State)
Johnstown, PA (Pitt-Johnstown)
Gambier, OH (Kenyon College)
Granville, OH (Denison University)
Greenville, OH (Edison State Community College)
Kent, OH (Kent State University)
Oberlin, OH (Oberlin College)
Youngstown, OH (Youngstown State University)
Wilberforce, OH (Wilberforce University and Central State University)
Wilmington, OH (Wilmington College)
Yellow Springs, OH (Antioch College)
Ada, OH (Ohio Northern University)
Muncie, IN (Ball State University)
North Manchester, IN (Manchester University)
Gailsburg, IL (Knox College)
Adrian, MI (Siena Heights University and Adrian University)
Albion, MI (Albion College)
Flint, MI (University of Michigan)
Kalamazoo, MI (Western Michigan University)
Mt. Clemens, MI (McComb Community College)
Muskegon, MI (University of Wisconsin System)
Green Bay, WI (University of Wisconsin System)
Platteville, WI (University of Wisconsin System)
Oshkosh, WI (University of Wisconsin System)
Platteville, WI (University of Wisconsin System)
Waukesha, WI (University of Wisconsin System)
Ettrick, VA (Virginia State University)
Fairmont, WV (Fairmont State University)
Philippi, WV (Alderson-Broaddus University)
Shepardstown, WV (Shepard University)
Adairville, KY (Lindsey Wilson College)
Sewanee, TN (University of the South)
Orangeburg, SC (Claflin, South Carolina State)
Livingston, AL (University of West Alabama)
Albany, GA (Albany State University)
Greenwood, MS (Mississippi Valley State University)
Kirksville, MO (Truman State University)
Pinebluff, AR (University of Arkansas)
Emporia, KS (Emporia State University)
Ada, OK (East Central University)
Ardmore, OK (East Central University)
Havre, MT (Montana State University-Northern)
Silver City, NM (Western New Mexico University)
Arcata, CA (Cal Poly Humboldt)
LeGrande, OR (Eastern Oregon University)
Pullman, WA (Washington State University)

IVM finds heightened risk in higher education as stimulus funds expire (Kasia Lundy, EY Parthenon, 2024)

Six key financial and operational metrics pinpoint higher ed risk (Kasia Lundy, EY Parthenon, 2022)

Little-noticed victims of the higher education shutdowns: college towns (Emily Richmond, Hechinger Report, 2020)

Campus and Learning Site Closings Nearing 20,000

"20-20": Many US States Have Seen Enrollment Drops of More Than 20 Percent

A preliminary list of private colleges at risk (2019)

Thursday, June 29, 2023

A People's History of Higher Education in the US

[Editor's Note: What we saw today at the US Supreme Court--with the end of affirmative action in college enrollment--is horrible but not shocking. The History of Higher Education in the US over the last four centuries is worse than horrible--from a People's perspective. In many cases it has been horrifying. Some of it has been documented. Much of it has not. No one has documented the full-length of the terrain, the voyage that got us here, or to what may lie ahead. Looking in the mirror, and at the injustice, what do you see?]

A People's History of US Higher Education is sorely needed, not as a purely academic work to gather dust on shelves, or as internet click bait, but as a way to assess how our nation moves forward as a democracy--or as something less. To make history, it's helpful to know (real) history: the history of working-class (and middle-class) struggles.

The college and university industry faces enormous challenges in the coming years, and an elitist perspective that is taught in higher education perpetuates this societal mess: one of monumental (and widely acceptable) selfishness and greed, increasing inequality (see graph below) and reduced social mobility, decreasing life expectancy, lack of transparency and accountability followed by trillions in government bailouts to the rich, and profound environmental destruction.

A Sketch of the Current Terrain

At the front end of the higher ed pipeline, the US is not producing enough domestic students with the resources or skills to succeed in college and beyond. Much of this is related to "savage inequalities" in the K-12 system (and throughout society) that have never been remedied. And in 2026 we expect an enrollment cliff to occur, a ripple effect of the 2008 Great Recession.

Community colleges and second-tier state universities--once considered the backbone of increasing democracy and social mobility, have faced declining revenues, lower enrollment, and public defunding for more than a decade.

Adjuncts have become the "new faculty majority"--a trend moving that way for several decades--with little resistance. Labor has had a few recent victories at elite schools, but it remains to be seen how strong this movement will become and whether it will spread to lower rung institutions.

Drug and alcohol abuse, sexual coercion and assault, bullying, and other forms of violence and brutality are long-standing parts of the US higher ed landscape that have not been fully dealt with.

Millions of folks are learning exclusively online. Subprime robocolleges (like the University of Phoenix, Purdue University Global, and University of Arizona Global Campus) and Online Program Managers (OPMs) have replaced traditional universities with little information about their value or effectiveness. Those schools flood the internet with targeted ads.

White supremacy and anti-intellectualism have regained popularity, with the higher education policies of Ron DeSantis in Florida, Greg Abbott in Texas, and Sarah Huckabee-Sanders in Arkansas. The Supreme Court has also spoken recently--ending affirmative action for people of color. Legacies and other meritless preferences for the more rich and powerful remain.

Mergers, acquisitions, and campus closings are commonplace as schools compete for a smaller number of students and an even smaller number that can pay the full amount for tuition, room and board, fees, and living expenses.

Elite universities are financial and industrial centers, scooping up (and stealing) land, investing billions overseas and paying few taxes, and hiring foreign workers instead of Americans.

At the end of the pipeline, US higher education may be educating the world's elites, but higher ed and the larger society are not producing enough skilled workers/good jobs for Americans. There is a growing educated underclass, people who are working but are not working in areas that they had hoped for. There are many bullsh*t jobs out there. And many gig jobs with no benefits. And there are jobs that require long hours and difficult conditions, forcing people to choose between the personal and professional. Some folks are doubling down for career advancement, borrowing (sometimes unwisely) for graduate school.

Student loan debt makes college graduates captive to the corporations who are willing to hire them--and subject to dismissal whenever they are no longer helping them make a profit. Even at non-profits this is the case. Crushing debt results in people who decide (logically) not to marry, not to have children--at the expense of being labeled as criminals and deviants. The Republican Supreme Court will soon weigh in on the subject and likely determine that debt relief would not be fair to others--presumably the wealthy and powerful that the Justices represent.

Let's be clear. Higher education in the United States has always reflected and reinforced a larger (sick) society and its ills. Its beginnings and much of its history are deeply rooted in white supremacy, patriarchy, and classism-- through land theft, genocide, worker oppression, and exclusion.

There have been many excellent critical accounts of higher education over the last century, from Upton Sinclair's The Goosestep (1923) to Craig Steven Wilder's Ebony and Ivy (2013) to Gary Roth's The Educated Underclass (2019). Recent books have also examined elite universities, state universities, and for-profit colleges and their predatory practices. But few if any assess the dark landscape from start to finish.

A Sketch of Where the US Has Been

In the 1600s and 1700s, elite eastern schools like Harvard, Yale, Princeton, Brown, and Georgetown were constructed on stolen land. The leaders of the exclusive white male schools held people captive in order to keep the schools running. All the students were white men or people who had to assimilate into the world of white supremacy. The schools also taught religious ideologies to rationalize their crimes against humanity. What was it like for an indigenous person, an enslaved person, or a servant at one of these schools? How brutal was college life in those times?

Government intervention was essential to increasing opportunity. After the Civil War, Historically Black Colleges and Universities enabled some African Americans to get a higher education. State universities and teacher's colleges also emerged with the promise of educating and empowering more citizens. And even then, land for state universities came from land theft of indigenous nations. Financial and industrial robber barons (men who stole wholesale from workers and their families), subsidized and controlled elite higher private higher education. These men included Leland Stanford, John D. Rockefeller, and Andrew Carnegie.

Government funding through the post-World War II GI Bill increased enrollment (but disproportionate opportunity for white men) during the late 1940s and 1950s. The 1960s reflected a time of rebellion, greater access, and a movement toward equality. The Black Panthers, for example, challenged white supremacy at Merritt College and San Francisco State. But those days seem to be from a bygone era--a moment of opportunity lost. We do have some accounts of students and teachers, but is there one place we can find what life was like in junior colleges and lesser known state universities?

Were the 1960s an anomaly? In 2023, it certainly appears so. For those activists who remember those times well enough, and remember the progress, it may be disheartening. Many citizens today are too young or not as well informed. Over the decades, even more have been disinformed--lied to--by elitist revisions of history.

Battling the Business of Higher Education

Since the 1980s, US higher education has increasingly reflected and reinforced a nation of privatization, government austerity and lack of oversight, and social class exclusion. Elite credentials are used to discriminate in career fields (like law) where there is an oversupply; other careers (like nursing) are also hamstrung by hyper-credentialism--creating artificial shortages.

Progressive organizations have been largely ineffective in battling strengthening corporate forces on campus. The Fed and other organizations continue to sell the idea of more higher education for all, as millions face a lifetime of debt peonage. There have been some heroes on the People's side, but they have been largely ignored by the mainstream media--which largely writes from an elitist perspective.

We are now more than four decades into this neoliberal era. Higher education has changed, yet it still reflects much of what is wrong with America. Working class folks, and even many middle-class consumers are increasingly wary of higher education--whether it's worth buying into. In some cases, edtech has reduced our Quality of Life. Is there anyone with enough energy, resources, and courage to document it all? And can it be done from the perspective of the People--for the good of the People?

Sunday, September 11, 2022

State Universities and the College Meltdown

State Universities are using Google Ads to boost enrollment numbers.

(Updated November 28, 2022)

While for-profit colleges, community colleges, and small private schools received the most attention in the first iteration of the College Meltdown, regional public universities (and a few flagship schools) have also experienced financial challenges, reorganizations, and mergers, enrollment losses, layoffs and resignations, off-campus learning site closings and campus dorm closings, lower graduation rates, and the necessity to lower admissions standards. They are not facing these downturns, though, without a fight.

State universities, for example, are attempting to maintain or boost their enrollment through marketing and advertising--sometimes with the assistance of helpful, yet sometimes questionable online program managers (OPMs) like 2U and Academic Partnerships and lead generators such as EducationDynamics.

Academic Partnerships claims to serve 50 university clients. HEI has identified 25 of them.

Google ads also follow consumers across the Web, with links to enrollment pages. And enrollment pages include cookies to learn about those who click onto the enrollment pages. Schools share the information that consumers provide with Google Analytics and Chartbeat.

A pop-up Google Ad for Penn State World Campus

Advanced marketing will not improve institutional quality directly but it may raise awareness of these state schools to targeted audiences. Whether this becomes predatory may be an issue worth examining.

In order to stay competitive, state universities have to have a strong online presence and spend an inordinate amount of money on marketing and advertising. Ohio University and other schools now offer programs that are 100 percent online.

State universities have joined for-profit colleges in the television advertising space.

Despite marketing and enrollment appeals like this, we believe the financial situation could worsen at non-flagship state universities when austerity is reemployed--something likely to happen during the next economic downturn.

While state flagship universities have multiple revenue streams, they are often unaffordable for working families. Elite state universities, also known as the Public Ivies, have increasingly shut out state residents--in favor of people from out of state and outside the US--who are willing to pay more in tuition.

Aaron Klein at the Brookings Institution calls this significant (and dysfunctional) out-of-state enrollment pattern as The Great Student Swap.

State Universities with more than 4000 foreign students include UC San Diego, University of Illinois, UC Irvine, University of Washington, Arizona State University, Purdue University, Ohio State University, Michigan State University, and UC Berkeley.

People fortunate enough to attend large state universities as undergrads may feel alienated by large and impersonal classrooms led by graduate assistants and other adjuncts. There are also significant and often under-addressed social problems related to larger universities, including hunger, substance abuse, sexually transmitted diseases, hazing and sexual assault.

Online only versions of flagship schools may not be of the same quality as their brick and mortar counterparts. Purdue University Global and University of Arizona Global Campus, for example, are open enrollment schools for working adults which produce questionable student outcomes. These "robocollege" schools hire few full-time instructors and often spend a great deal of their resources on marketing and advertising.

EducationDynamics is a lead generator for "robocolleges" such as Purdue University Global and University of Arizona, Global Campus.

Purdue University Global has used questionable marketing and advertising.

The Higher Education Inquirer has already noticed the following schools in the Summer and Fall 2022 that received media scrutiny for lower enrollment, financial problems, or labor issues:

Westfield State University

Connecticut State Colleges and Universities

Western Connecticut State University

State University of New York

Montclair State University (Merger with Bloomfield College)

William Paterson University

Montclair State University

Rutgers University, Camden

New Jersey City University

Penn State University

Indiana University of Pennsylvania

Slippery Rock University of Pennsylvania