Among other commonly held beliefs about the drivers of
postsecondary policy and financing, this book questions the current
use of funding per student as the dominant indicator of the
adequacy of state investment in higher education, and as a key
driver of the costs of college. State legislators balance the
competing needs of education, health, transportation, and public
safety budgets, and increasingly ask what return (ROI) they get for
the funding they provide, including from higher education. This
question means the forty-year era of advocating for higher
education by comparing funding per student to a national average or
last year's result is no longer an effective gauge of funding
adequacy for state policymakers. The Science of Higher Education is
an introduction to a new paradigm that explores state higher
education funding, enrollment, completion, and supply (the number
and type of institutions in a state) through the lens of what are
commonly known as power laws. Power laws explain patterns in
biological systems and characteristics of cities. Like cities,
state higher education systems are complex adaptive systems, so it
is little surprise that power laws also explain funding,
enrollment, completion and supply. The scale relationships
uncovered in The Science of Higher Education suggest the potential
benefits state policymakers could derive by emphasizing enrollment,
completion or capacity policies, based on economies of scale,
marginal benefits, and the return state's get on enrollment and
completion for the funding they provide. The various features of
state higher education systems that conform to scale patterns do
not alone provide definitive answers for appropriate funding
levels, however. As this book addresses, policy makers need to take
into account the macro forces, from demography to geography and the
economy, that situate the system, as well the interactions between
government and market actors that are at the core of every state
higher education system and influence the outcomes it achieves.
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