Posts Tagged “immigration”

Administration’s Early Moves Stifle Economic Engine of Higher Education

In post-industrial America, the roles played by large nonprofits – especially its hospitals and universities – power the economic engines in many regional economies. What would cities like San Francisco, Philadelphia, Pittsburgh, and Boston look like without their large educational and medical research complexes? Would other cities, such as Houston, Chicago, Los Angeles, Austin, and Washington, DC, be as vibrant without the diversification made possible by these important economic drivers?

The facts are clear. America may – or may not – regain some of its manufacturing capacity, although this re-growth is likely to be infused with a level of technology certain to assure that what develops is not likely to be your grandfather’s auto assembly line. America may develop energy policies that re-open coal mines even as newer, alternative sources of power move forward to increasingly dominate the energy landscape.

But the future of the American economy is to prepare and lead a global economy. The alternative is to be lost in a political quagmire that will lessen America’s impact and influence on the rest of the world.

Whether you like NAFTA or the Trans Pacific Partnership really doesn’t matter in the end. What matters is that the boat has long since sailed on whether we live and work in a global economy. The relevant questions are how will we be transformed by it? And, which countries will lead it?

Higher Education and Medical Research Are Economic Engines

The heart of the post-industrial economy arguably is the education and medical research complexes that fuel our regional economies. From these pulsing economic engines emerge spin-offs created by entrepreneurs who transform – and effectively recreate — the American economy. Together with small business, they shape the direction of American society, often from the ground up.

President Eisenhower once warned Americans about the dangers of the military-industrial complex. It was an important admonition that has continued relevance in a transforming America. Rules and protocols – matched by common sense and good will – must continue to shape the political, cultural, and economic relationships between politics and the economy.

Trump Administration Proposals’ Troubling Impact on Higher Ed

That’s why two of the Trump Administrations proposed policies, in particular, are deeply troubling. It doesn’t matter whether these policies are part of a first-year executive policy and budget request that is likely “dead on arrival.” They show a predisposition by the executive branch that speaks more to ideology than cost.

The first is the much discussed travel ban, part of a larger discussion about the role that immigrants have and will play in the history of the United States. The future of the travel ban will likely be settled by the courts, but there are some early trends that bear close scrutiny.

According to Inside Higher Education (IHE), “Four in ten colleges are seeing drops in applications from international students amid pervasive concerns that the political climate might keep them away.” For many years now, US colleges have benefited from steady increases in applications from international students. As students, they often pay full tuition and fees, providing a valuable revenue stream for these institutions.

Travel Ban Already Hurting International Applications

IHE’s Elizabeth Redden writes, “the highest reported declines involved applications from the Middle East. Thirty-nine percent of universities reported declines in undergraduate applications from the Middle East, while 31 percent reported declines in graduate applications. Fall enrollment numbers from the region will likely be hard hit by President Trump’s executive order.” Higher education officials find similar trends in China and India, which account for nearly half of the international students in the United States.

Do we really want international students to go elsewhere? Shouldn’t the next great innovations in America come from a global workforce educated here that stays here because Americans – whether native born or naturalized – create a climate that encourages and supports global innovation developed by the best and brightest from across the globe?

Trump Budget Proposal Will Stifle Innovation & Growth

The second problematic proposal, the Administration’s budget blueprint, compounds the first. In a statement on the proposed budget, Mary Sue Coleman, president of the American Association of Universities, was blunt: “This budget proposal would cripple American innovation and economic growth. The President’s FY18 budget proposes deep cuts to vital scientific research at the National Institutes of Health, Department of Energy, NASA, NOAA, and other critical scientific agencies.”

Coleman argues that the budget proposal “would lead to a U.S. innovation deficit, as it comes at a time when China and other economic competitors continue their investment surge in research and higher education. For decades, federal investments in these areas have paid enormous dividends in medical advancements, new technologies, and enhanced national security, and helped to produce high-wage American jobs and the most talented workforce in the world.”

If we accept the premise that America’s nonprofit education and medical centers power the economic engines that fuel the most promising contributors to American economic growth, does it make any sense to damage these global institutions, perhaps irreparably?

In the end, it’s not a “guns versus no butter” decision to favor military buildups over domestic discretionary spending. It’s about labor, capital, partnerships, and investment. At its most fundamental, “it’s the economy, stupid.” Let’s not muck it up.

Welcome to the New Culture Wars. Same as the Old Culture Wars?

Thirty years ago, we all understood what the term “culture wars” meant. It was about Mapplethorpe vs. Helms and teaching old, dead, white men vs. revisionist and black history. There were lines. Whichever side you were on, you knew where you stood.

The battle lines changed and have morphed into something quite different today. As the first efforts by the Trump Administration to enact an immigration ban sputtered in chaos, confusion and a “must see TV” legal battle, the implications of the fight over how to provide national security have become clear. So, too, did the historical precedents that informed this newest battle.

It turns out that the new culture wars are also social, economic, and political in nature.

The new battle lines are between visions of American society that are industrial vs. post-industrial in outlook, design, and practice.

Historical Perspectives on Economic Battle Lines

What’s most interesting is that these new lines mirror the pitched battles over industrialization in the early 19th century, especially in England, as machinery replaced manpower in textile production, especially weaving. The warriors then were craftsmen, rooted in an agricultural society, who saw their traditions and way of life threatened by the mechanization of their livelihoods.

The protesters – the Luddites – were English textile workers and independent craftsmen who destroyed weaving machinery to protest the mechanization of textile production. They were fearful that years spent learning their craft were wasted and that unskilled workers would take their place. Eventually, the military suppressed the Luddite movement. England became the world’s leading industrial power throughout much of the 19th century.

Two hundred years later, the parallels persist as America moved from an industrial to a post-industrial economy. Workers in the manufacturing sector have seen their jobs disappear and wages stagnate as income inequality has continued to rise for over twenty years, despite some recent upticks. The presumed culprit is cheaper overseas labor, principally identified as Mexican and Chinese. The Luddites of 19th century industrial England have become the “America first” nationalists of 21st century America.

Globalization and National Security Concerns Interwoven

Symbolized by the debate over renegotiating NAFTA and abandoning the Trans Pacific Partnership, it has become a battle to stem the tide over “free trade” globalization cloaked in concerns about national security. Internally, the battle lines are also cultural, on issues like Planned Parenthood, immigration and refugees, and Supreme Court picks. The philosophies behind these competing claims are decoded into a broader national debate about “American values.”

For the moment, the effect is to split the country almost uniformly, depending upon the crisis de jour. Practically, there is a political dimension with the red and blue states recast, within limits, as “nationalists” and “globalists,” respectively. The problem with the rhetoric today is that people will get hurt. It’s probably where the large crowds protesting immigration policies can do the most good, however, especially if they can humanize the negative impact of “America first” policies.

“Eds and Meds” are Economic Engines

There is another danger, already recognized in cities like Boston, New York, Seattle, Washington, and San Francisco. These are the “eds and meds” capitals of the country whose economies are in each case bigger than those of most countries with which America competes. They are the booming economic engines of the US economy. It’s why the Silicon Valley’s biggest technology players have joined together to speak against the immigration ban.

The stakes are high. How American higher education plays its hand could set the United States on a path that will shape its ability to compete.

To this end, it’s important to have clear strategic goals in mind. Here are some first thoughts:

Higher Education Must Choose Battles Wisely

Build a strategy out of the initial tactical responses that have occurred in response to the early policy initiatives of the Trump administration. Protests are fine – critical, in fact – but choose the battles wisely. America’s leading educators should speak out on policies that affect higher education, linking what they say to social, cultural, and political concerns about American values. Their campuses must be prepared to support them, particularly if they focus on the issues and stay out of the politics.

Higher Ed Must Be Broadly Inclusive

America’s colleges and universities must remove what can sometimes be seen as legitimate criticism and become more tolerant of ideas, including those with which they and their college communities disagree. They must practice what they preach on how best to be broadly inclusive.

Higher Ed Must be Leader in Post-Industrial Economy

“It’s the economy stupid.”  American workers list job security as their principal worry. In a world in which “do no damage” should be a primary operating principle, it is dangerous for the American economy to power down, for example, because of knee-jerk immigration policies. We need the best and the brightest with us. But we also need a Manhattan Project version of a Tennessee Valley Authority initiative to move the Rust Belt mindset forward.

The goal is a growing economy to build a robust middle class across the country. America signaled that globalization would undergird the world economy when Bill Clinton signed on to NAFTA.

The trick now will be for leaders – including those who run American colleges and universities – to help America prepare to lead a post-industrial economy.

It will require sane, reasoned debate. Let us begin.