york education lecture 060306
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Globalization and higher education:
global markets and global public goods
Simon Marginson
Monash University, Australia
York University International Colloquium
6 March 2006
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Five propositions
1. Globalization combines (1) world economic markets operating inreal time and producing mainly private goods with (2) the firstworld-wide system of communications, knowledge and culture,which are predominantly public goods.
2. The main impact of globalization in higher education is inrelation to (2). Higher education is central in the constitution ofresearch and important in communications and culture.
3. But higher education is configured bypolicy to support the
private economy, and organized as a quasi-market competition;4. and this weakens global public goods, reproduces global
inequalities in the distribution of research capacity, and underpinsAnglo-American domination in higher education.
5. The preferred move: enhance and pluralize global public goods.
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Rethinking public/private:
[starting points]
Higher education functions can be private, public or amixture (and in part this is policy determined)
Whether education is government owned is notin itself thecrucial element in determining whether its outcomes arepublic or private. Many public institutions produce scarceand valuable private goods for individuals. And privateinstitutions 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 orglobal higher education
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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 toindividual buyers, e.g. law and order, or social tolerance, or
the equitable distribution of social opportunities Public goods are under-produced in competitive markets
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Globalization
Globalization means worldwide and meta-regional convergence
Globalization combines two distinctive elements:
(1) the formation of integrated world markets producing privategoods, operating in real time. These markets rest on
(2) the first global system of communications, knowledge andculture (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-marketideologies in government and education, which reinforce (1)
Global flows are transformative of practices/ identities
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Globalization and higher education
Higher education is among the most globalized of sectors
Higher education has a central function in the globalknowledge 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 economicvalue 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 thetwo-tier world-wide higher education market
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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 statuscompetition especially in research, (b) worldwide networking/
every university visible, (c) policy-driven system organization ofhigher education as market competition in many nations
Increasingly, in many nations, global markets and the super-league overshadow the leading national universities
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Top 100 research universities
2005 data from Shanghai Jiao Tong University Institute of Higher Education
USA 53
UK 11
Germany 5
Japan 5
Canada 4
France 4
Sweden 4
Switzerland 3
Netherlands 2
Australia 2
others 7
Others: Israel,Finland,
Denmark, Austria,
Norway,Russia, Italy
each1.
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The Super-League in 2005from Shanghai Jiao Tong University data
1HARVARD USA 11Yale USA
2Cambridge UK 12Cornell USA
3Stanford USA 13UC San Diego USA
4UC Berkeley USA 14UC Los Angeles USA
5MIT USA 15Pennsylvania USA
6Caltech USA 16Wisconsin-Madison USA
7Columbia USA 17Washington (Seattle) USA8Princeton USA 18UC San Francisco USA
9Chicago USA 19Johns Hopkins USA
10Oxford UK 20Tokyo Japan
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Shanghai Jiao Tong University
research rankings: weightingscriterion 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 inNature 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%
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HiCi researchers
selected universities, 2005Stanford 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
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The global market in degrees2003 OECD data
USA 28%
UK 12%
Germany 11%France 10%
Australia 9%
Japan 4%
Russ. Fed. 3%
Spain 3%
others 20%
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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 broadlyavailable within countries
for example
(a) common or collective goods like the research system, andrecognition 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
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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 thanEnglish. We must ask the question whose global public
goods? Who is included in public? Who decides?
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Anglo-American hegemony[especially US hegemony]
The nations that dominate global markets in higher educationalso dominate global public goods (yet they under- recognize the
public character of goods like research and evade the democraticresponsibilities 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 thesupremacy 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 worlds
foreign doctoral students (200,000 +), many of whom stay on
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Unequal global knowledge flowsnumber of published papers in science and social science 1993-1997:
World Bank data 2000
3105,393 11,435
14,883 18,08833,426
53,160 58,91061,734
249,386
0
50000
100000
150000
200000
250000
300000
Indonesia Korea China India Australia Canada Germany Japan UK USA
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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
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Global competition for brains (2):
doctoral students crossing bordersPercentage (%) of all foreign students who are enrolled in research degreesOECD data for 2003 except USA 2003-2004
0
5
10
15
20
25
30
35
US doctoral
universities
Swizerland Sweden UK Australia
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Global competition for brains (3):
doctoral graduates staying in USAOECD/US data for 2000nation of origin of doctoralgraduates (selected nations)
proportion of doctoralgraduates planning to stay
India 83%
China 82%
UK 76%
Iran 67%
Argentina 62%
Germany 59%
Canada 58%
Australia 46%
Mexico 42%
Korea 37%
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Global competition for brains (4):
Clinton era globalization of US
roleOECD 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%
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Enhancing and changing global
public goods in higher education
Creation of inter-governmental and multilateral spaces fornegotiating recognition systems, cost-sharing, the managementof cross-border externalities
Specialist units in national governments responsible formonitoring 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)
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Central propositions
1. 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;2. 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 bypolicy to support the private
economy, and organized as a quasi-market competition;
3. This downplays global public goods, reproduces global
inequalities in the distribution of research capacity, and
underpins Anglo-American domination in higher education.
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thank you for the opportunity to speak with you!
simon.marginson@education.monash.edu.au
http://www.education.monash.edu.au/centres/mcrie/p
ublications/
after 1 July 2006 based at Centre for the Study of Higher
Education, University of Melbourne
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