Markets in Higer Education: Rhetoric or Reality?

361 Pages·2004·2.48 MB·English

by  Pedro Teixeira

MARKETS IN HIGHER EDUCATION
HIGHER EDUCATION DYNAMICS
VOLUME 6
Series Editor
Peter Maassen, University of Oslo, Norway, and University of Twente, Enschede,
The Netherlands
Editorial Board
Alberto Amaral, Universidade do Porto, Portugal
Akira Arimoto, Hiroshima University, Japan
Nico Cloete, CHET, Pretoria, South Africa
David Dill, University of North Carolina at Chapel Hill, USA
Jürgen Enders, University of Twente, Enschede, The Netherlands
Patricia Gumport, Stanford University, USA
Mary Henkel, Brunel University, Uxbridge, United Kingdom
Glenn Jones, University of Toronto, Canada
SCOPE OF THE SERIES
Higher Education Dynamicsis a bookseries intending to study adaptation processes
and their outcomes in higher education at all relevant levels. In addition it wants to
examine the way interactions between these levels affect adaptation processes. It
aims at applying general social science concepts and theories as well as testing
theories in the field of higher education research. It wants to do so in a manner that
is of relevance to all those professionally involved in higher education, be it as
ministers, policy-makers, politicians, institutional leaders or administrators, higher
education researchers, members of the academic staff of universities and colleges, or
students. It will include both mature and developing systems of higher education,
covering public as well as private institutions.
The titles published in this series are listed at the end of this volume.
MARKETS IN HIGHER
EDUCATION
Rhetoric or Reality?
Edited by
PEDRO TEIXEIRA
Research Centre on Higher Education Policies – CIPES, and
Universidade do Porto,
Portugal
BEN JONGBLOED
Centre for Higher Education Policy Studies – CHEPS,
University of Twente,
The Netherlands
DAVID DILL
University of North Carolina at Chapel Hill,
USA
and
ALBERTO AMARAL
Research Centre on Higher Education Policies – CIPES, and
Universidade do Porto,
Portugal
KLUWERACADEMICPUBLISHERS
DORDRECHT / BOSTON/ LONDON
A C.I.P. Catalogue record for this book is available from the Library of Congress.
ISBN 1-4020-2815-6 (HB)
ISBN 1-4020-2835-0 (e-book)
Published by Kluwer Academic Publishers,
P.O. Box 17, 3300 AADordrecht, The Netherlands.
Sold and distributed in North, Central and South America
by Kluwer Academic Publishers,
101 Philip Drive, Norwell, MA02061, U.S.A.
In all other countries, sold and distributed
by Kluwer Academic Publishers,
P.O. Box 322, 3300 AHDordrecht, The Netherlands.
Printed on acid-free paper
All Rights Reserved
©2004 Kluwer Academic Publishers
No part of this work may be reproduced, stored in a retrieval system, or transmitted
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Printed in the Netherlands.
TABLE OF CONTENTS
List of Contributors vii
Preface
ALBERTO AMARAL AND PETER MAASSEN xi
Introduction
PEDRO TEIXEIRA, BEN JONGBLOED, ALBERTO AMARAL
AND DAVID DILL 1
Markets in Higher Education: Do They Promote Internal
Efficiency?
WILLIAM F. MASSY 13
Cost-sharing and Equity in Higher Education: Implications
of Income Contingent Loans
D. BRUCE JOHNSTONE 37
Transparency and Quality in Higher Education Markets
DAVID D. DILL AND MAARJA SOO 61
Regulation and Competition in Higher Education
BEN JONGBLOED 87
The Evaluation of Welfare Under Alternative Models of
Higher Education Finance
GERAINT JOHNES 113
Higher Education Policy as Orthodoxy: Being One Tale of
Doxological Drift, Political Intention and Changing
Circumstances
GUY NEAVE 127
Market Coordination of Higher Education: The United States
ROGER L. GEIGER 161
‘Madly Off in all Directions’: Higher Education, Marketisation
and Canadian Federalism
GLEN A. JONES AND STACEY J. YOUNG 185
Australian Higher Education: National and Global Markets
SIMON MARGINSON 207
v
vi TABLE OF CONTENTS
The Higher Education Market in the United Kingdom
GARETH WILLIAMS 241
Rapid Expansion and Extensive Deregulation: The Development
of Markets for Higher Education in the Netherlands
CARLO SALERNO 271
Is There a Higher Education Market in Portugal?
PEDRO TEIXEIRA, MARIA JOÃO ROSA AND ALBERTO AMARAL 291
Higher Education and Markets in France
THIERRY CHEVAILLIER 311
Conclusion
DAVID DILL, PEDRO TEIXEIRA, BEN JONGBLOED AND
ALBERTO AMARAL 327
Glossary 353
LIST OF CONTRIBUTORS
ALBERTO AMARAL is professor at the University of Porto and director of CIPES.
He is chair of the Board of CHER, vice-chair of EUA’s steering committee on
institutional evaluation, life member of IAUP, and a member of EAIR and IMHE.
Recent publications include articles in Quality Assurance in Education, Higher
Education Quarterly, Higher Education Policy, Higher Education in Europe and
European Journal of Education. He is editor and co-editor of several books,
including Governing Higher Education: National Perspectives on Institutional
Governance (2002) and The Higher Education Managerial Revolution? (2003) in
this series.
THIERRY CHEVAILLIER is senior lecturer in economics at the University of
Bourgogne (Dijon, France) and a member of IREDU, Institute for Research on the
Economics of Education. His research interests are higher education finance and
resource allocation in higher education. He has been involved in several
international comparative studies on various aspects of higher education in Europe
and is an expert to Eurydice. He is a member of the Consortium of Higher Education
Researchers (CHER).
DAVID D. DILL is professor of public policy and director of the Research Program
on Public Policy for Academic Quality (PPAQ) at the University of North Carolina
at Chapel Hill. His research interests include regulation in higher education, policy
design and the ethics of public policy. He has published numerous books and articles
on higher education and serves in an editorial capacity on the Journal of Higher
Education, Higher Education Policy and Quality in Higher Education. He is a
member of the Board of the Consortium of Higher Education Researchers (CHER),
a life Fellow of the Society for Research in Higher Education (SRHE) and a member
of the Association for the Study of Higher Education (ASHE) and the Association
for Public Policy and Management (APPAM).
ROGER L. GEIGER is distinguished professor of higher education at Pennsylvania
State University and head of the Higher Education Program. His study, Knowledge
and Money: Research Universities and the Paradox of the Marketplace, will be
published by Stanford University Press in 2004. His volumes on American research
th
universities in the 20 century, To Advance Knowledge and Research and Relevant
Knowledge are being published in new editions by Transaction Publishers in 2004.
In 2000 he published The American College in the Nineteenth Century (Vanderbilt
UP) and since 1993 he has been editor of The History of Higher Education Annual.
GERAINT JOHNES is professor of economics at Lancaster University Management
School, UK. He is the author of numerous articles in journals such as the Economic
Journal, Oxford Economic Papers and the Oxford Bulletin of Economics and
Statistics, and also of four books, including The Economics of Education (Palgrave
vii
viii LIST OF CONTRIBUTORS
1993). He has also edited two books of readings: Recent Developments in the
Economics of Education (Edward Elgar 1993) with Elchanan Cohn, and the
International Handbook on the Economics of Education (Edward Elgar 2004) with
Jill Johnes. He is consultant to the World Bank, OECD and the British Department
for Education and Skills.
D. BRUCE JOHNSTONE is university professor of higher and comparative
education at the State University of New York at Buffalo, where he is director of the
Center for Comparative and Global Studies in Education and the International
Comparative Higher Education Finance and Accessibility Project. His teaching and
research interests combine economics, finance and governance of colleges and
universities in both domestic and international contexts. He has served as vice-
president for administration at the University of Pennsylvania, president of the State
University College at Buffalo and chancellor of the State University of New York,
the latter post from 1988 to 1994.
GLEN A. JONES is associate professor of higher education and associate dean of
the Ontario Institute for Studies in Education at the University of Toronto. His
research focuses on higher education policy, systems and governance, including
work supported by the Social Sciences and Humanities Research Council of Canada
and numerous Canadian and international organisations. He is a former editor of the
Canadian Journal of Higher Education, a past president of the Canadian Society for
the Study of Higher Education, and in 2001 received the Society’s Research Award
for his contributions to higher education scholarship in Canada.
BEN JONGBLOED is a senior researcher at the Center for Higher Education Policy
Studies (CHEPS), University of Twente, the Netherlands. Since joining CHEPS in
1993 his research has concentrated on the theme of higher education economics. He
has written extensively on topics such as funding methodologies, student financial
support, marketisation, financial management and per student costs. He currently
serves on the Board of the Consortium of Higher Education Researchers (CHER).
SIMON MARGINSON is a professor of education and director of the Monash
Centre for Research in International Education at Monash University, Australia. The
holder of an Australian Professorial Fellowship, his work is focused on the
trajectories of the research university in the global environment. Current research
projects include national and global education markets, the social and economic
security of cross-border students, university networking and social capital, and
technological innovation in higher education. His book, The Enterprise University
(Cambridge UP 2000) with Mark Considine, won an American Educational
Research Association publication award in 2001.
WILLIAM F. MASSY is president of The Jackson Hole Higher Education Group,
Inc., and an emeritus professor at Stanford University. He earned tenure as professor
of business administration, then moved to Stanford’s central administration as vice
provost for research and later vice president for business and finance. In 1987 he
LIST OF CONTRIBUTORS ix
became a professor of higher education and founded the Stanford Institute for
Higher Education Research where he worked on education quality, resource
allocation, finance and mathematical modelling of universities. From 1996 to 2002,
Dr Massy directed the National Center for Postsecondary Improvement’s project on
educational quality and productivity. From 1991 to 2003 he served on Hong Kong’s
University Grants Committee. His book, Planning Models for Colleges and
Universities (Stanford UP 1981) with David Hopkins, received the Operations
Research Society of America’s Frederick W. Lanchester Prize for 1981, and in 1995
he received the Society for College and University Planning’s annual career award
for outstanding contributions to college and university planning. His modelling work
continued with Virtual-U, a simulation game for teaching about universities as
systems, supported by the Alfred P. Sloan Foundation and released in 2001. In 1996
he published Resource Allocation in Higher Education (University of Michigan
Press) which introduced the idea of ‘value responsibility budgeting’. His most recent
book, Honoring the Trust: Quality and Cost Containment in Higher Education
(Anker Publishing Co. 2003), presents an action plan for boosting quality without
increases in spending.
GUY NEAVE is director of research at the International Association of Universities
Paris, and professor of comparative higher education policy at the Center for Higher
Education Policy Studies (CHEPS), University of Twente, the Netherlands. Foreign
associate of the National Academy of Education of the United States and editor of
Higher Education Policy, he taught history before moving over to education policy
many moons ago. He lives on the far western edge of the Paris Basin at St Germain
en Laye and is not a football supporter.
MARIA JOÃO ROSA is assistant teacher at the University of Aveiro and a
researcher at CIPES. She was awarded a PhD by the University of Aveiro (Portugal)
in December 2003, with a thesis entitled Defining Strategic and Excellence Bases
for the Development of Portuguese Higher Education. Her main research topics are
quality management and quality assessment in higher education institutions and the
internationalisation of the Portuguese higher education system. Recent publications
include articles in journals such as Quality Progress,Total Quality Management and
Higher Education Quarterly.
CARLO SALERNO is a senior research associate at the Center for Higher
Education Policy Studies (CHEPS) at the University of Twente in the Netherlands.
His research focuses on the economics of higher education with special attention to
issues surrounding university productivity and costs as well as the behaviour of
institutions as non-profits. Since coming to CHEPS in 2001, he has authored or co-
authored a number of monographs and papers in the areas of higher education
privatisation, funding, per-student cost estimation and efficiency.
MAARJA SOO is a doctoral student in public policy at the University of North
Carolina at Chapel Hill. She graduated with a BA in political science and a masters
degree in public administration from the University of Tartu in Estonia and she