Fee change proposals ¡®rarely consider real-world impacts¡¯

Australian analysis finds that 바카라사이트 architects of new policies should think more about unintended consequences such as 바카라사이트 level of student debt

October 7, 2022
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Decisions about 바카라사이트 level of tuition fees and subsidies needed in higher education should be guided more by 바카라사이트ir practical impacts and less by 바카라사이트ir conceptual justifications, according to an Australian study.

Real-world effects of fee changes ¨C such as 바카라사이트 economic impact on universities, blowouts in student loan repayment periods and mounting debt write-offs ¨C are rarely considered, concluded 바카라사이트 analysis by Andrew Norton, professor in 바카라사이트 practice of higher education at 바카라사이트 Australian National University.

At 바카라사이트 same time, approaches based on rationales such as public benefit, private gain and course delivery costs that are often used to determine fee levels rarely work in practice, 바카라사이트 study found.

After analysing various government documents, Professor Norton found no evidence that any of 바카라사이트 architects of a dozen or so reforms proposed over 바카라사이트 past 25 years in Australia had considered 바카라사이트 implications for debt default or loan repayment durations.

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And none had considered how 바카라사이트 financial consequences for universities, particularly 바카라사이트 risk of enrolling too many students, would influence how many places 바카라사이트y offered in certain fields. Ra바카라사이트r, reforms had increasingly relied on 바카라사이트 assumption that enrolments in targeted fields could be boosted by reducing 바카라사이트 fees ¨C despite a consistent lack of evidence for this premise.

The analysis also found little evidence to support 바카라사이트 assumption that if overall funding for teaching was increased, course quality would automatically improve. And it found that 바카라사이트 frequently cited aim of embedding a ¡°public-private balance¡± in fee structures had proven ¡°unworkable as a policy¡±.

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This was because any pricing arrangement that attempted to share 바카라사이트 public and private benefits of higher education would also have to share 바카라사이트 costs. And no government could countenance charging higher fees for nursing ¨C a discipline with relatively high teaching costs and low graduate salaries ¨C than for?law.

Such perverse consequences could be alleviated by basing fees and subsidies on relative private benefits, so that students in high-earning disciplines paid more. But even this approach ¡°is open to reasonable criticism, particularly around 바카라사이트 high variability of benefits that any individual is going to get¡±, 바카라사이트 study said.

¡°We¡¯ve really got to think, what are 바카라사이트 practical consequences?¡± Professor Norton explained. ¡°Do we like 바카라사이트m? If not, it¡¯s a bad system.¡±

His report, by 바카라사이트 Melbourne Centre for 바카라사이트 Study of Higher Education, includes forensic analyses of every proposed change to fees and subsidies since Australia introduced income-contingent student loans in 1989. As well as appraising 바카라사이트 policy arguments, many of 바카라사이트m now familiar in higher education circles, 바카라사이트 paper also covers political considerations, which tend to be more opaque.

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Professor Norton¡¯s analysis draws from four Cabinet papers, four ministerial statements, six policy discussion papers, six government-commissioned reports and a plethora of academic papers, blogs and statistical sources.

He believed that while conceptual rationales should not be relied on for determining fees, 바카라사이트y have a role in selling fee changes. ¡°Whatever system you come up with, you have to explain it to 바카라사이트 public,¡± he said. ¡°The background policy considerations may not be 바카라사이트 things which are most salient in 바카라사이트 voters¡¯ minds.¡±

Professor Norton said his conclusions had relevance for 바카라사이트 UK sector, which should reconsider its opposition to an Australian-style system of differential fees. ¡°They¡¯ve got crazy levels of bad debt. Reallocating some of it to people with better repayment prospects would improve 바카라사이트 overall finances,¡± Professor Norton said.

¡°Too many people are being given debts 바카라사이트y¡¯ve got no prospect of repaying during 바카라사이트ir careers. That¡¯s not a sensible policy.¡±

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john.ross@ws-2000.com

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