Today the Podcast Podcast Economy
Why US universities no longer attract foreign students
International students enroll less and less in American universities. The phenomenon began three years ago, it persists. Why this disenchantment, and what are the economic consequences?
The number of foreign students fell for the third consecutive year on American soil. This is a first, and one that seriously worries the universities because they need this good paying public to buck their budget and thus ensure the quality and the influence of their teaching. With the financial crisis of 2008, public subsidies evaporated and universities compensated for this shortfall by welcoming more foreign students. The proportion has increased in ten years from 3-4% to 15-20%.
Is it Donald Trump who rejects these precious students?
The phenomenon began in 2016, before his election, so he can not be held entirely responsible. But of course, with his anti-migrant rhetoric, he has obviously contributed to restrictions on visas for students and restrictions on their living conditions. And also with the trade war he declared to China. Because this rival country has become the first provider of American college students. Of the one million foreign students present across the Atlantic, about 300,000 are Chinese. But since June Beijing warns its citizens against the dangers they incur when registering in the United States. Some universities urgently have insurance to protect themselves against this new risk of disaffection.
Where do those who turn away from the United States study?
The Chinese, but also the Indians, the Saudis and the Vietnamese, that is to say those who have contributed the most to the influx of foreign troops on American soil in the recent period, perhaps remain more in their country to form. Many prefer Australia and Canada, two countries that have seen foreigners take off for three years. Because they are more open, they offer an opportunity to settle, this is the case of Canada, but also because they are much cheaper. The American universities, too happy to have found a cash cow, have been increasing the fees, no doubt too much. The average year costs $ 36,000 in a private American college, it's twice as cheap in Australia, four times less in Canada.
Is this disaffection of foreign students a symptom of American decline?
If we look at the undergraduate market, there is a worrying drop especially in the economic field, but the PhD students attracted by the quality of the research are still numerous. There are two markets for higher education, one is very strong and it is still contributing to strengthening the country's capacity for innovation and a primary market that is in crisis. The shortfall is estimated at $ 11 billion over these years of decline, 65,000 jobs were removed. The American Association of International Teachers recalls that this flourishing industry, it weighed nearly 40 billion dollars in 2016, half a million jobs, is still one of the few tertiary activities very favorable to the US trade balance. Instead of exporting coal or soybeans, Americans are being paid to attract the best brains. To scare them away is to penalize American foreign trade, not really what Donald Trump is looking for.
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