Globalization

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Globalization and higher education: global markets and global public goods:

Globalization and higher education: global markets and global public goods Simon Marginson Monash University, Australia York University International Colloquium 6 March 2006

Five propositions:

Five propositions Globalization combines (1) world economic markets operating in real time and producing mainly private goods with (2) the first world-wide system of communications, knowledge and culture, which are predominantly public goods. The main impact of globalization in higher education is in relation to (2). Higher education is central in the constitution of research and important in communications and culture. But higher education is configured by policy to support the private economy, and organized as a quasi-market competition; and this weakens global public goods, reproduces global inequalities in the distribution of research capacity, and underpins Anglo-American domination in higher education. The preferred move: enhance and pluralize global public goods.

Rethinking public/private: [starting points]:

Rethinking public/private: [starting points] Higher education functions can be ‘private’, ‘public’ or a mixture (and in part this is policy determined) Whether education is government owned is not in itself the crucial element in determining whether its outcomes are ‘public’ or ‘private’. Many public institutions produce scarce and valuable private goods for individuals. And private institutions contribute to collective public goods such as an educated citizenry Our concepts of ‘public’ and ‘private’ should be consistent, whether we are talking in terms of national higher education or global higher education

A preferred definition of ‘public’ [adapted from political economy]:

A preferred definition of ‘public’ [adapted from political economy] Public goods are those goods or outcomes from higher education that (1) have a significant element of non-rivalry and/or non-excludability (Samuelson 1954), and (2) are made broadly available across the population Goods are non-rivalrous when they can be consumed by any number of people without being depleted, e.g. knowledge of a mathematical theorem. Goods are non-excludable when the benefits cannot be confined to individual buyers, e.g. law and order, or social tolerance, or the equitable distribution of social opportunities Public goods are under-produced in competitive markets

Public and private goods in higher education (examples):

Public and private goods in higher education (examples) Private goods include: (1) university places providing career opportunities/ status benefits confined to individuals; (2) commercial intellectual property Public goods include: (1) the production, codification and circulation of research and knowledge; (2) higher education’s contribution to advanced and common social and scientific literacy; (3) univiersity contributions to the arts; (4) social values advanced by education, e.g. cosmopolitan tolerance; (5) the equitable allocation of social opportunities

Globalization:

Globalization Globalization means worldwide and meta-regional convergence Globalization combines two distinctive elements: (1) the formation of integrated world markets producing private goods, operating in real time. These markets rest on (2) the first global system of communications, knowledge and culture (which are primarily state supported public goods) Contemporary globalization is also marked by accelerated and intensified cross-border mobility of people, commodity trade, and norms of policy and practice. The last includes pro-market ideologies in government and education, which reinforce (1) Global flows are transformative of practices/ identities

Globalization and higher education:

Globalization and higher education Higher education is among the most globalized of sectors Higher education has a central function in the global knowledge system, and is important in communications and cultural exchange. For the most part these are, technically, public goods (though their contents are often pro-market) Higher education has a direct role in the creation of economic value but this is much less important But higher education can be configured as a quasi-economy, based predominantly on the long-standing status competition Globalization has become associated with the formation of the two-tier world-wide higher education market

Global higher education as market competition:

Global higher education as market competition Two tier global markets in higher education: (1) ‘Super-league’ of research universities mostly USA/UK (2) Other universities providing cross-border education A fully capitalist market is found only in part of tier (2) Preconditions of ‘market’ competition: (a) traditional status competition especially in research, (b) worldwide networking/ every university visible, (c) policy-driven system organization of higher education as market competition in many nations Increasingly, in many nations, global markets and the ‘super-league’ overshadow the leading national universities

Top 100 research universities 2005 data from Shanghai Jiao Tong University Institute of Higher Education :

Top 100 research universities 2005 data from Shanghai Jiao Tong University Institute of Higher Education Others: Israel, Finland, Denmark, Austria, Norway, Russia, Italy each 1.

The Super-League in 2005 from Shanghai Jiao Tong University data:

The Super-League in 2005 from Shanghai Jiao Tong University data 1 HARVARD USA 11 Yale USA 2 Cambridge UK 12 Cornell USA 3 Stanford USA 13 UC San Diego USA 4 UC Berkeley USA 14 UC Los Angeles USA 5 MIT USA 15 Pennsylvania USA 6 Caltech USA 16 Wisconsin-Madison USA 7 Columbia USA 17 Washington (Seattle) USA 8 Princeton USA 18 UC San Francisco USA 9 Chicago USA 19 Johns Hopkins USA 10 Oxford UK 20 Tokyo Japan

Shanghai Jiao Tong University research rankings: weightings:

Shanghai Jiao Tong University research rankings: weightings criterion weighting Alumni of institution: Nobel Prizes and field medals 10% Staff of institution: Nobel Prizes and field medals 20% High citation (HiCi) researchers 20% Articles in Nature and Science 20% Articles in citation indexes in science, social science, humanities 20% Research performance (compiled as above) per head of staff 10% total 100%

HiCi researchers selected universities, 2005:

HiCi researchers selected universities, 2005 Stanford USA 91 UC Berkeley USA 81 Harvard USA 72 MIT USA 72 Chicago USA 33 Illinois (Urbana) USA 33 Cambridge UK 42 Oxford UK 29 Canada combined 160 U Toronto 26 U British Columbia 17 Australia combined 95

The global market in degrees 2003 OECD data:

The global market in degrees 2003 OECD data

Global public goods in higher education:

Global public goods in higher education Global public goods in higher education (1) have major elements of non-rivalry and/or non-excludability; (2) are made broadly available across populations; (3) affect more than one group of countries, and are broadly available within countries for example (a) common or collective goods like the research system, and recognition systems that facilitate cross-border mobility; (b) cross-border externalities, i.e. the effects of higher education in one nation on higher education in another nation

Global public goods in higher education are…:

Global public goods in higher education are… Under-recognized (due to the ‘jurisdictional gap’) Under-produced in markets, and under-provided overall Global public goods are not unambiguous goods. Note that cross-border externalities are not always positive (e.g. brain drain in many nations is a ‘global public bad’). And the research system tends to occlude work in languages other than English. We must ask the question ‘ whose global public goods?’ Who is included in ‘public’? Who decides?

Anglo-American hegemony [especially US hegemony]:

Anglo-American hegemony [especially US hegemony] The nations that dominate global markets in higher education also dominate global public goods (yet they under- recognize the public character of goods like research and evade the democratic responsibilities suggested by ‘public’) Global higher education markets powerfully sustain Anglo-American hegemony. Competition pulls status, resources and people to the USA/UK, reproducing the unequal distribution of academic capacity between naitons. Competition legitimates the supremacy of American universities and models English dominates research and the US/UK lead world output The US is the world doctoral school, with half the world’s foreign doctoral students (200,000 +), many of whom stay on

Unequal global knowledge flows number of published papers in science and social science 1993-1997: World Bank data 2000:

Unequal global knowledge flows number of published papers in science and social science 1993-1997: World Bank data 2000

Global competition for brains (1) 2000-2004 data, various sources, Purchasing Power Parity:

Global competition for brains (1) 2000-2004 data, various sources, Purchasing Power Parity nation data year Professorial salary USD p.a. USA (salary only, 9-10 months) 2003-04 $101,000 average Singapore 2001 $92,000-130,000 Australia 2003 $75,000 base level Korea (private universities only) 2000 $71,000 average Germany, Netherlands 2002-03 $60,000-70,000 France, Spain, Finland 2002-03 $40,000-70,000 Argentina 2001 $12,000-22,000

Global competition for brains (2): doctoral students crossing borders Percentage (%) of all foreign students who are enrolled in research degrees OECD data for 2003 except USA 2003-2004:

Global competition for brains (2) : doctoral students crossing borders Percentage (%) of all foreign students who are enrolled in research degrees OECD data for 2003 except USA 2003-2004

Global competition for brains (3): doctoral graduates staying in USA OECD/US data for 2000:

Global competition for brains (3) : doctoral graduates staying in USA OECD/US data for 2000 nation of origin of doctoral graduates ( selected nations ) proportion of doctoral graduates planning to stay India 83% China 82% UK 76% Iran 67% Argentina 62% Germany 59% Canada 58% Australia 46% Mexico 42% Korea 37%

Global competition for brains (4): Clinton era globalization of US role OECD 2002 data:

Global competition for brains (4) : Clinton era globalization of US role OECD 2002 data Doctoral degrees in science and engineering 1985 1990 1995 all doctoral degrees 18113 22867 26515 doctoral degrees to foreign students 2401 5002 7842 foreign graduates as % of all doctoral graduates 13.3% 21.9% 29.6% foreign graduates planning to stay in US 1201 2449 5533 planning to stay, as % of all foreign graduates 50.0% 49.0% 70.6%

Enhancing and changing global public goods in higher education:

Enhancing and changing global public goods in higher education Creation of inter-governmental and multilateral spaces for negotiating recognition systems, cost-sharing, the management of cross-border externalities Specialist units in national governments responsible for monitoring and negotiating cross-border effects Involve non-government interests, market actors, universities themselves in negotiation of global goods Cultural diversity in higher education ,on the basis of equal respect, can become a primary global public good This broader spread of higher education capacity as a common global objective (rather than market competition)

Central propositions:

Central propositions Globalization combines (1) world economic markets operating in real time and producing mainly private goods with (2) the first world-wide system of communications, knowledge and culture, which are predominantly public goods; The main impact of globalization in higher education is in relation to (2), where it is central to research and culture. Yet higher education is configured by policy to support the private economy, and organized as a quasi-market competition; This downplays global public goods, reproduces global inequalities in the distribution of research capacity, and underpins Anglo-American domination in higher education.

thank you for the opportunity to speak with you!:

thank you for the opportunity to speak with you! simon.marginson@education.monash.edu.au http://www.education.monash.edu.au/centres/mcrie/publications/ after 1 July 2006 based at Centre for the Study of Higher Education, University of Melbourne

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