Colleges find revenue in foreign students
by Justin Pope
Associated Press Writer
November 12, 2012 12:00 AM | 884 views | 0 0 comments | 6 6 recommendations | email to a friend | print
Reyes Jiang of China talks with Alexus Hall during Cultural Coffee Hour that was conducted by the Japanese Student Association on the campus of Indiana University in Bloomington, Ind., on Friday. America’s famous heartland public universities are transforming in an era of diminished state support. Of the 25 campuses with the most international students, a dozen have increased international enrollment more than 40 percent in just five years, according to data collected by the Institute of International Education.<br>The Associated Press
Reyes Jiang of China talks with Alexus Hall during Cultural Coffee Hour that was conducted by the Japanese Student Association on the campus of Indiana University in Bloomington, Ind., on Friday. America’s famous heartland public universities are transforming in an era of diminished state support. Of the 25 campuses with the most international students, a dozen have increased international enrollment more than 40 percent in just five years, according to data collected by the Institute of International Education.
The Associated Press
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ANN ARBOR, Mich. — Want to see how quickly the look and business model of American public universities are changing? Visit a place like Indiana University. Five years ago, there were 87 undergraduates from China on its idyllic, All-American campus in Bloomington. This year: 2,224.

New figures outtoday show international enrollment at U.S. colleges and universities grew nearly 6 percent last year, driven by a 23-percent increase from China, even as total enrollment was leveling out. But perhaps more revealing is where much of the growth is concentrated: big, public land-grant colleges, notably in the Midwest.

The numbers offer a snapshot of the transformation of America’s famous heartland public universities in an era of diminished state support. Of the 25 campuses with the most international students, a dozen have increased international enrollment more than 40 percent in just five years, according to data collected by the Institute of International Education. All but one are public, and a striking number come from the Big Ten: Indiana, Purdue, Michigan State, Ohio State and the Universities of Minnesota and Illinois. Indiana’s international enrollment now surpasses 6,000, or about 15 percent of the student body, and in Illinois, the flagship Urbana-Champaign campus has nearly 9,000 — second nationally only to the University of Southern California.

To be sure, such ambitious universities value the global vibe and perspectives international students bring to their Midwestern campuses. But there’s no doubt what else is driving the trend: International students typically pay full out-of-state tuition and aren’t awarded financial aid.

Public universities hit hard by state funding cuts “really are starting to realize the tuition from international students makes it possible for them to continue offering scholarships and financial aid to domestic students,” said Peggy Blumenthal, senior counselor at IIE, the private nonprofit that publishes the annual “Open Doors” study.

Nationally, there were 765,000 foreign students on U.S. campuses last year, with China (158,000) the top source, followed by India, South Korea and Saudi Arabia (the fastest growing thanks to an ambitious scholarship program by the Saudi government). Altogether, IIE calculates they contribute $22.7 billion to the economy, and many stay after graduation. For the first time in a dozen years, there were more foreign undergraduates than graduate students.

Indiana charges in-state students $10,034 for tuition and non-residents $31,484, so the economic appeal is straightforward. Still, out-of-state recruiting — international or domestic — is always sensitive for public universities, fueling charges that kids of in-state taxpayers are denied available slots.

At one level, that’s true: About one-third of Indiana students come from outside the state, and for this year it rejected 4,164 in-state applicants. But while conceivably it could enroll more Indiana residents, without the out-of-staters’ tuition dollars they would likely have to pay more. Indiana and others figure more of their out-of-staters may as well be international, arguing you can’t prepare students for a global economy without exposing them to students from abroad.

David Zaret, Indiana’s vice president for international affairs, says the school’s interest in international students is educational, not “nakedly financial.” He says IU could fill its out-of-state slots domestically, and points out that unlike some schools IU doesn’t charge international students more than domestic non-residents, so there’s no extra financial incentive.
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