International Student Education: Cost vs. Benefit

1. International Student Education:Cost vs. Benefit Barbara Doty Bryan Beverly EAD 805

2. Background • US international student population: 582,984 international students in 2006-07 3.9% of total student population Most are Graduate students seeking academic credentials Majority are from Asia- India- 83,833 China- 75,445

3. Administrative Challenge • Balancing the costs of recruiting and educating international students with the economic impact for the university and the community

4. Institutional Benefits of International Student Education • Diverse student body • Cultural competency and exchange • Research labor

5. International Fundraising/Donations • Campaign for MSU   07/1999-10/2007 Avg.annualgiving • MSU Alum 10,624,392 1,328,049 • Friend 10,923,024 1,365,378 • Corporation 621,663 77,708 • Corporate Foundation 250,297 31,287 • Private Foundation 2,673,049 334,131 • Group 4,221 528 • Association 2,502,550 312,819 • Other Organization 38,291 4,786 • TOTAL $27,637,487 $3,454,686 • Total for Faculty/Staff $374,641 $46,830 • (included in above totals)         The numbers above cover the period of the last MSU Capital Campaign

6. Primary Source of Funding • 2007/2008 International Students • Personal and family 388,821 • US College or Universities 161,633 • Home Government/University 21,085 • US Government 3,282 • US Private Sponsor 6,013 • Foreign Private Sponsor 6,522 • International Organizations 1,390 • Current Employment 29,399 • Others Sources 5,660 TOTAL 623,805 • Open Doors 2008: Report on International Education Exchange Table 15: http://opendoors.iienetwork.org/?p=131536

7. ‘International Students contribute to America’s balance of payments because of money they bring with them from abroad’ • The argument is flawed: • 1. Calculations ignore the subsidies to higher education coming from US tax dollars and endowment funds • 2. Calculations use highly questionable data techniques • 3. Stronger studies show international students make a heavy use of US funds to support graduate education • -David North, former Assistant to the U.S. Secretary of Labor

8. Graduate Assistantships @ MSU • Over 3,000 total assistantships on campus • 30% of all G. A.’s are held by International students • Tuition, matriculation, & energy fees waived • Stipends exempt from Social Security

9. Michigan State University 2008-09 Tuition Undergraduate Graduate Resident/In-State $3,265.75$ 10,264 Non-Resident/ - $11,766.00 $25,772 International 2007-08 Academic Year Enrollment: 3,869 international students from 134 countries The ten top sources of international students are: South Korea (907), China (787), India (393), Taiwan (233), Canada (136), Japan (131), Turkey (74), Hong Kong (66), Thailand (54), and Saudi Arabia (53). International students comprise 8.4% of total enrollment

10. Oregon State University 2008-09 Tuition and Fees   Undergraduate Graduate Resident $ 6,123 $10,962 Nonresident / $18,864 $16,845 International 2007-08 Academic Year Enrollment 950 international students from 90 different countries.

11. University of Arkansas 2008-09 Tuition and Fees (Assessed per credit hour of enrollment) Resident Undergraduate $167.00 Non-Resident International Undergraduate $462.91 Undergraduate $462.91 Resident Graduate $294.68 Non-Resident International Graduate $697.14 Graduate $697.14 Academic Year 2007-08 Enrollment 1040 International Students From 115 countries

12. Support Programs • English as a Second Language • International/ Cultural Orientations • Arrival Assistance • Immigration Matters • International Student Employment • TOEFL Prep • EFL Teacher training

13. Economic Impact • United States (total # of Foreign Students: 582,984) • $14.5 Billion during Academic year 2006-07 • Contribution from Living Expenses: $10,438,000,000 • Contribution from Tuition and Fees to U.S. Economy: $9,929,000,000 • Total Contribution by Foreign Students: $20,366,000,000 - Less U.S. Support of $6,280,000,000 • Net Contribution to U.S. Economy by Foreign Students and their Families: $14,499,000,000

14. Economic Impact Michigan: • Foreign Students in the State 22,857(up 8.1%) • Estimated Foreign Students Expenditure in the State $525.5 millions • MSU- local $92 million

15. Economic Impact Arkansas Foreign Students in the State 3,316 (up 14.4%) • Estimated Foreign Students Expenditure in the State$66.4 million

16. Economic Impact Oregon • Foreign Students in the State 6,154(up 6.7%) • Estimated Foreign Students Expenditure in the State$158.7 million

17. Foreign Student Contribution from Tuition/Fees and Living Expenses (2006-07) Tuition and Fees Living Expenses Less U.S. Support Total Contribution and Dependents Arkansas$33.1 $42.7 $20.8 $54.9 Michigan$362.8 $333.1 $224.3 $471.6 Oregon$93.2 $104.3 $52.3 $145.3 (In Millions) from NAFSA

18. Suggested Action • Eliminate tuition waiver for International students • Reduce the waiver to a partial waiver for those who are financially needy • Increase standards for proof of ability to pay educational costs to 4 years • Reduce the number of tuition free credits available per semester for international students • Seek out corporate funding to offset governmental contributions to international scholarships and aid

19. Works Cited • Michigan State University,2008,www.msu.edu International Studies and Programs • Oregon State University, 2008. www.oregonstate.edu. International Students & Scholars • University of Arkansas, 2008. www.uark.edu. International Programs • Association of International Educators, 2007. The Economic Benefits if International Education to the United States for the 2006-7 Academic Year: A Statistical Analysis. http://www.nafsa.org • North, David, 2008. “Who pays? Foreign students do not help with the balance of payments”, Center for Immigration Studies. www.cis.org • Moser, Kate, 2008. “New model for recruitment of foreign students sparks debate”, The Chronicle for Higher Education. Washington. June 27, p.A24 • Anonymous, 2008. ”New Survey suggests continued growth in international student enrollments at US colleges and universities”, PR Newswire. New York, November 17 • Hengel, Mark,2008. “International Students Aid Economy”, Arkansas Business. Little Rock, Aug 18 p. 1