The Business Model of Education: A Moral Bankruptcy & Looming Financial Disaster
Calling a halt to on-campus operations and going totally online, thereby waiving on-campus fees, was the right, moral choice. And yet it was the option that this reckless system could never take, because those inflated fees were needed to pay the fixed costs of the business model. Without sufficient state funds, universities are reliant on federal grant money, which requires students to enroll. If online courses drive away even a fraction of those students, the house of cards will collapse. For the university to do the right thing would be financial suicide.
The article’s title is misleading. The business model of education is the root problem, but it did not start with state universities. State governments — enthralled by neoliberalism, harried by zealotical anti-tax lobbyists & myopic voters — have spent forty years divesting from funding education as a public good, forcing public universities to rely on a mix of federal funding, out-of-state/international tuition, an amenities arms race, & ever-inflating service fees.
I don’t agree with the article’s proposed solution, but something must be done in the wake of the havoc on budgets — state and university — that will follow the pandemic.
Correctional, police, & military budgets bloat without restraint while the viability of the Post Office and public universities are jeopardized. One can only conclude American society cares more about imprisoning & killing people than we do connecting & educating them.
The Corner That State Universities Have Backed Themselves Into | The Atlantic