Newsweek recently decided to deal with threat of the web by cutting circulation and doubling down on editorial. I’ve been skeptical that they could pull it off, however, I have to admit that the weekly has produced quite a few thought-provoking pieces over the last few months.
This week, Senator Lamar Alexander, who has served as both US education secretary for George H.W. Bush and president of the University of Tennessee, argues in Newsweek’s cover story that universities should consider a three year graduation option to keep costs down for students. Think about how much that proposal makes sense, considering that the information revolution is enabling students to reach proficiency levels faster than ever. If you graduate in three years, rather than four, you instantly cut your tuition costs by 25 percent. That seems a lot simpler than adding another federal loan scheme to the mix.
Alexander bases his argument by drawing an intriguing parallel between America’s universities of today and the Big Three automakers of yesteryear. Alexander suggests that Detroit’s domination in the 20th century contributed to its ultimate downfall because the industry became too complacent under its near-monopoly. Once consumer tastes shifted toward leaner cars produced by the Japanese and the Europeans, Detroit was done.
Right now, as Alexander points out, America produces the best universities in the world by nearly every measure. And their customers seem willing to take out loans and pay whatever it takes to attend the institutions with the most celebrity professors and the biggest labs and football stadiums. In other words, America’s universities are churning out SUVs of education.
But what happens when students decide they’d rather not buy into these tuition guzzlers? What happens when students opt for three year schools or take more classes from entrepreneurial (and cheaper) online players? What happens when those flashy new stadiums and high-tech lecture halls are filled with empty seats? It’s not a stretch to think most universities operate under the assumption that the taxpayers will ultimately pick up the tab during any tough times.
Are our universities too big to fail now? Please share your opinion below.
