An Exploration of Nonresident Student Enrollment and Institutional Finances at Public Universities

Many public universities have sought to increase the number of students they enroll from other states, with the assumption that a larger share of nonresident students increases institutional revenues and prestige. In this paper, I examine the extent to which out-of-state undergraduate student enrollment shares are associated with changes in per-student revenue and expenditure patterns at four-year public universities both as a whole and by selectivity and Carnegie classification. I find that an increase in the percentage of students from out of state is associated with decreases in per-student tuition revenue and is often associated with a decline in per-student expenditures.

Getting Unstuck with Internationalization at Home: Seizing the Post-pandemic Moment

As I write this essay in late May 2020, the higher education press is blanketed by debate about the enduring changes brought on by COVID-19. Some maintain that the pandemic has already triggered disruptive changes, such as the quick move to online learning and variations in the academic calendar. They speculate that these shifts will endure after the crisis passes. Others predict a shift in the landscape of higher education. In countries with a private higher education sector that is highly dependent on tuition revenue, a substantial number may close, and the resulting landscape will be dominated by stronger, richer institutions. One estimate is that 20% of private institutions in the United States will close (Wescott 2020).

The Paradox of the Global University

No university of ambition officially claims to be local. Touting international reach and reputation is a nearly essential feature of university strategic planning worldwide. Yet being a global university is paradoxical. Academic institutions historically are servants of particular cities, regions, and nations, and one of their essential functions has been to connect particular places with world affairs. International rankings regimes, the search for tuition revenue among schools in a few large markets, and the remarkable consistency with which nations pursue status through higher education: all of these deepen the implication of universities in the fate and future of particular locales.

Trends in Revenues at US Colleges and Universities, 1987-2013

This Economic Commentary studies trends in inflated-adjusted revenues per student at US colleges and universities in broad revenue categories between 1987 and 2013. The findings show that, as is widely perceived, tuition revenue has risen over time at both public and private institutions. In recent years, tuition revenue at public institutions has been nearly as large a source of revenue as state and local government funding has been. Revenue from state and local governments has fluctuated at public institutions but has generally fallen over time, whereas funding from the federal government has risen. Investment returns are a large and highly variable source of revenue, especially for private institutions.

The Tidewater Z-Degree and the INTRO Model for Sustaining OER Adoption

A growing body of research confirms the financial and academic benefits that accrue to students whose faculty adopt open educational resources, or OER. While there are no content licensing costs associated with using OER, there are several real costs that must be incurred by an institution that chooses to support its faculty in adopting OER. The Z-Degree initiative at Tidewater Community College utilizes only OER for the 21 courses, providing a pathway for students to earn an associate of science degree in business administration without ever buying a textbook. The authors introduce and illustrate the INTRO (INcreased Tuition Revenue through OER) model for sustaining the provision of OER adoption services. The adoption of OER as part of the Z-Degree decreases drop rates among Tidewater students, allowing the institution to retain tuition revenue it would otherwise have refunded. This retained revenue provides a renewable source of funds to sustainably support the adoption of OER.

Are International Students Cash Cows? Examining the Relationship Between New International Undergraduate Enrollments and Institutional Revenue at Public Colleges and Universities in the US

There has been growing interest in the business of international education. It is often assumed that universities seek international students as a means of generating revenue. The broad purpose of this study was to understand the effects of increased international student enrollment on net tuition revenue. Informed by resource dependency and academic capitalism theory, this study used panel regression techniques to estimate the effect of enrolling an international undergraduate student on tuition revenue among public colleges and universities in the United States Findings show some but not all institutions are able to generate additional income by enrolling additional international students.