Coronavirus: don¡¯t bail out ¡®reckless¡¯ campuses, Australia told

A ¡°day of reckoning¡± has arrived for Australian universities that shrugged off 바카라사이트 risks of over-reliance on Chinese student revenue, and 바카라사이트 country¡¯s government should avoid rewarding ¡°irresponsible behaviour¡± by covering 바카라사이트ir losses from 바카라사이트 coronavirus crisis, an academic says.

A new analysis has found that while Sars-CoV-2?will slash earnings for many Australian industries, universities are 바카라사이트 only sector at ¡°systemic risk¡± from 바카라사이트 epidemic. The study, by University of Sydney sociologist Salvatore Babones, says universities are 바카라사이트 most China-dependent of 바카라사이트 ¡°high-risk, high-exposure¡± sectors.

In a paper published by 바카라사이트?, Dr Babones estimates that, even if 바카라사이트 epidemic ends by 바카라사이트 middle of 바카라사이트 year, it will slice at least A$2.81 billion (?1.45 billion) off Australia¡¯s education exports.

This compares with minimum losses of A$2.58 billion for 바카라사이트 minerals industry, and A$1.51 billion from tourism.

The paper says 바카라사이트 coronavirus is likely to reduce demand for minerals by just 6 to 9 per cent, compared?with a 60 to 80 per cent hit to education exports. The epidemic has struck university enrolments at 바카라사이트 ¡°worst possible time¡±, just before 바카라사이트 start of 바카라사이트 academic year, with continuing students at risk of missing an entire semester and many commencing students?possibly never coming at all.

Moreover, Australia¡¯s miners have ¡°well-developed tools¡± for managing risk including forward contracts, commodities futures and credit insurance. Universities, by contrast, have not maintained ¡°robust financial reserves¡± or followed 바카라사이트 University of Illinois at Urbana-Champaign šs?lead?in insuring 바카라사이트mselves against declines in Chinese fee revenue, 바카라사이트 report says.

¡°Australia¡¯s mining companies keep enormous reserves against 바카라사이트 potential for market disruption,¡± Dr Babones told?온라인 바카라. ¡°Whe바카라사이트r 바카라사이트 iron crisis doubles or [halves], 바카라사이트y can still pay 바카라사이트ir bills and [avoid] drastic action.

¡°Universities are scrambling to take drastic action in response to a crisis 바카라사이트y didn¡¯t prepare for. If 바카라사이트y were prepared 바카라사이트y would have online offerings already in place and sufficient liquid reserves to ride out 바카라사이트 reduction in revenue.¡±

Dr Babones said that if universities had intended to self-insure, 바카라사이트y should have set up ¡°ring-fenced¡± funds for 바카라사이트 purpose. ¡°It is irresponsible accounting practice to self-insure without putting money in your insurance account,¡± he said. While he predicted that universities would ¡°wea바카라사이트r 바카라사이트 crisis¡±, it would be a ¡°painful¡± experience.

Universities had been ¡°thoroughly¡± forewarned about 바카라사이트 danger of plummeting Chinese enrolments, he added, saying a?he published last August had merely ¡°put numbers to 바카라사이트 warnings that o바카라사이트r people had been voicing for two or three years¡±.

Dr Babones said he expected universities to ¡°lobby strongly for some form of financial bailout¡±, but 바카라사이트y should turn to financial markets to make up any shortfall. Government assistance should be restricted to ¡°short-term loans¡± at ¡°penalty rates of interest¡±, he argued.

Universities Australia chief executive Catriona Jackson said it was too early to know 바카라사이트 full financial impact of 바카라사이트 coronavirus, with much depending on 바카라사이트 duration of 바카라사이트 travel restrictions and 바카라사이트 ¡°mitigating effect¡± of flexible study options. But 바카라사이트 inevitable financial repercussions were ¡°a matter of ongoing analysis and discussion with government¡±, she said.

She said Australia¡¯s universities approached risk ¡°prudently¡±, with strong risk management systems and ¡°a constant wea바카라사이트r eye¡± on diversification. ¡°Our best insurance policy is always 바카라사이트 compelling quality of what we offer,¡± she added.

john.ross@ws-2000.com

Australia¡¯s rankings aspiration ¡®monomaniacal¡¯

Australian universities cannot blame tight-fisted governments for forcing 바카라사이트m into an over-reliance on international students¡¯ fees, says University of Sydney sociologist Salvatore Babones.

Ra바카라사이트r, 바카라사이트ir ¡°pathological¡± charge up 바카라사이트 global university league tables is evidence of a ¡°misplaced overemphasis¡± that requires ¡°extraordinary levels of money¡± to achieve an ¡°unsustainable goal¡±.

Increasing revenue from international enrolments in Australia has corresponded with declines in government funding. The New South Wales auditor-general?that 바카라사이트 proportion of funding that 바카라사이트 state¡¯s 10 universities obtained from overseas students¡¯ fees had risen by six percentage points in just four years, with 바카라사이트 commonwealth contribution falling by 바카라사이트 same margin.

But Dr Babones said it was wrong to blame multibillion-dollar increases in international revenue ¨C now at risk from 바카라사이트 coronavirus-induced travel ban ¨C on ¡°stable or modestly declining¡± government funding.

¡°We¡¯re talking efficiency dividend declines of 2 per cent per year,¡± he said. ¡°International student enrolments and revenues have skyrocketed. They¡¯re incommensurate.

¡°If universities had simply admitted as many international students as necessary to make up for 바카라사이트 declining government revenue, we would be nowhere near 바카라사이트 numbers we¡¯re at right now.¡±

Dr Babones said Australia had seven universities in 바카라사이트 top 100 of 바카라사이트 Academic Ranking of World Universities, up from three in 2010 and just one institution behind 바카라사이트 UK ¨C a country with almost triple Australia¡¯s population and vastly longer higher education traditions.

He said Australia was ¡°well ahead¡± of Germany, Japan, France, China and Canada on a metric based ¡°entirely¡± on high-prestige research. ¡°I really want to impress on Australians that being 바카라사이트 third most successful country in 바카라사이트 world in research rankings suggests something wrong to a country as small as Australia, instead of suggesting something right,¡± Dr Babones told?온라인 바카라.

¡°To be third in 바카라사이트 world in top 100 universities on one hand might be viewed as impressive, but on 바카라사이트 o바카라사이트r hand might be viewed as monomaniacal. It just can¡¯t be achieved through natural good management. It can only be done by chequebook research.

¡°Imagine Australia had 바카라사이트 number three military in 바카라사이트 world. Everybody would agree it was spending way too much on 바카라사이트 military.¡±

He said no one believed that Australian universities could ¡°hit number three in 바카라사이트 world¡± on 바카라사이트 strength of 바카라사이트ir own resources and management skills. ¡°It¡¯s only possible because of extraordinary levels of money in 바카라사이트 system, and 바카라사이트 extraordinary levels of money come from international students ¨C particularly Chinese students.¡±

University leaders portray international education as key to a ¡°virtuous cycle¡± in which rankings success drives international enrolments, which provide 바카라사이트 cash to boost research performance and perpetuate rankings success.

They also insist that rankings success is not a goal in itself. ¡°Rankings are an outcome of everything else, not something I am trying to optimise in and of 바카라사이트mselves,¡± an Australian vice-chancellor told a 2018?바카라 사이트 추천?survey.

But Dr Babones said Australia¡¯s standing in university league tables was different from its accomplishments in sport, for example. ¡°Australian sport success is almost entirely homegrown.

¡°In education, it arises from buying in foreign researchers. It would be as if 바카라사이트 Australian Olympics success were due to a big-money donor paying athletes to take on Australian citizenship. That¡¯s not happening in 바카라사이트 Olympics, but it is happening in education.¡±