American Enterprise Institute
·
Published
July 16, 2024
Share this article

Summary

  • Adam Kissel at American Enterprise Institute argues that public universities suffer from a culture of timidity in discussing conservative ideas and that privatizing these institutions could introduce market discipline, potentially saving states billions in subsidies.
  • The article advocates for states to wait until interest rates drop below 4 percent before attempting to privatize universities through an endowment/bond plan, suggesting this transition will lead to institutions better aligned with market needs and free from bureaucratic constraints.

Overview:

This article was written by Adam Kissel at American Enterprise Institute. 

  • Public universities in the U.S. often avoid sharing ideas outside the prevailing academic norms.
  • Interest rates should drop below 4 percent before states pursue university privatization through an endowment/bond plan.

Key Quotes:

  • "Public universities suffer from demonstrated cultures of timidity when it comes to sharing ideas that stand to the right of the prevailing academic regime."
  • "States seeking to privatize their universities through an endowment/bond plan should wait for interest rates to return below 4 percent."

What They Discuss:

  • Public universities demonstrate a noticeable reluctance to entertain conservative ideas, contributing to a perceived culture of speech suppression.
  • Privatizing public universities is proposed as a solution, potentially saving states like Texas nearly $14 billion annually.
  • One privatization approach involves gradually reducing state funding to zero while giving colleges ownership of their land.
  • Alternatively, states could use an endowment/bond plan that maintains revenue neutrality by appropriating funds equivalent to eighteen to twenty times the average funding from the past five years.
  • Fairmont State University serves as a case study, highlighting issues like low graduation rates and high drop-out rates despite significant state subsidies.

What They Recommend:

  • States should consider privatizing public colleges either gradually or through an endowment/bond plan.
  • State legislatures should wait until interest rates fall below 4 percent before adopting the endowment/bond approach.
  • Resources should be redirected towards students most likely to succeed rather than continuing blanket subsidies for institutions.
  • States could reallocate savings from privatization to other public needs or reduce taxpayer burdens.

Key Takeaways:

  • Privatization could address cultural and financial inefficiencies in public universities.
  • Approaches to privatization include reducing state funding gradually or using a revenue-neutral endowment plan.
  • Privatizing universities could improve the intellectual climate and financial accountability in higher education.
  • States could save billions in subsidies by privatizing public institutions and should wait for favorable interest rates to proceed.

This is a brief overview of the article by Adam Kissel at American Enterprise Institute. For complete insights, we recommend reading the full article.

Related articles

All Topics
All Topics
All Topics
All Topics
All Topics
All Topics
All Topics
All Topics
All Topics
All Topics
All Topics
All Topics
All Topics
All Topics
All Topics
All Topics
All Topics
All Topics
All Topics
All Topics
All Topics
Can Maduro Pull off the Mother of All Electoral Frauds?
Center for Strategic and International Studies
·
Nov 18, 2023

Can Maduro Pull off the Mother of All Electoral Frauds?

Summary
  • Ryan C. Berg and Christopher Hernandez-Roy at Center for Strategic and International Studies analyze that Venezuela's recent elections showcased a blatant electoral theft by President Maduro, who manipulated election conditions, barred opposition candidates, and used repression to secure a disputed victory over Edmundo González.

  • The article asserts that the Maduro regime’s fraudulent actions, including blocking international observations and harassing opposition supporters, risk severe international isolation and a possible constitutional crisis if vote tabulations are not transparently released, undermining any claims to democratic legitimacy.
Leans Right
Commentary
·
International Affairs
Read summary
(1 min.)
-->
Why Is It So Hard for China to Boost Domestic Demand?
Carnegie Endowment for International Peace
·
Nov 18, 2023

Why Is It So Hard for China to Boost Domestic Demand?

Summary
  • Experts at the Carnegie Endowment for International Peace argue that China's Third Plenum communiqué remains vague on demand-side measures, even though boosting consumption is widely seen as crucial for sustainable growth.

  • The analysis suggests that despite consensus on the need for stronger consumer demand, Beijing faces challenges in shifting from an investment-driven economy due to long-standing transfers that benefit manufacturing, infrastructure, and local governments at the expense of households.
Liberal
Commentary
·
U.S.-China Relations
Read summary
(1 min.)
-->
A Cosmopolitan Case against World Government
Cato Institute
·
Nov 18, 2023

A Cosmopolitan Case against World Government

Summary
  • Ilya Somin at Cato Institute argues that supporting globalization and opposing world government are not contradictory positions because a world government could worsen voter ignorance, hinder foot voting, and potentially spiral into catastrophic authoritarianism.
  • The article asserts that world government is unnecessary for solving global issues and could suppress beneficial diversity and competition between nations. Instead, voluntary cooperation among major powers can address international challenges effectively.
Libertarian
Report
·
U.S. Government & Politics
Read summary
(1 min.)
-->
Project 2025 Compels Local Prosecutors To Enforce Extreme Right-Wing Laws
Center for American Progress
·
Nov 18, 2023

Project 2025 Compels Local Prosecutors To Enforce Extreme Right-Wing Laws

Summary
  • Lindsey McLendon at Center for American Progress argues that Project 2025 aims to dismantle the U.S. system of checks and balances, granting politicians, judges, and corporations increased control over Americans' lives by enforcing extreme right-wing policies through the U.S. Department of Justice.
  • The Center for American Progress asserts that Project 2025 would pressure local district attorneys to enforce severe abortion bans and other restrictive laws, exacerbating the maternal health crisis and reducing access to essential reproductive healthcare, particularly in states with already high maternal mortality rates.
Progressive
Article
·
U.S. Politics
Read summary
(1 min.)
-->
Trump chose Vance to reinforce his message
Brookings
·
Nov 18, 2023

Trump chose Vance to reinforce his message

Summary
  • Elaine Kamarck at Brookings writes that in selecting Senator J.D. Vance as his running mate, Donald Trump aimed to solidify his hard-right agenda, emphasizing Vance's alignment with Trump's core messages and MAGA base.
  • The article examines how Trump's choice of Vance follows the "reinforcing model" of vice-presidential selection, where the VP candidate strengthens the presidential candidate's message and governance, rather than providing a traditional ideological or geographic balance.
Leans Left
Commentary
·
2024 U.S. Elections
Read summary
(1 min.)
-->
No results found.
Original Read Time
9 min
Organization
The Brookings Institution
Category
Israel-Gaza War
Political Ideology
Center Left

We make expert analysis of current events
simple and accessible for all.

Join us in elevating our public discourse.