April 24, 2025
The landscape of higher education is evolving rapidly, and understanding its current state and future trajectory is crucial for stakeholders. In a recent episode of a prominent educational podcast, two economists shed light on the pressing opportunities for colleges and universities to enhance their engagement with local communities, broaden access for first-generation students, and improve transparency regarding tuition costs.
David Hummels, an esteemed economics professor and former dean, along with Jay Akridge, a distinguished professor of agricultural economics and former provost, both from a leading university, have collaborated on a newsletter focused on the future of higher education. Their insights are invaluable as they navigate the complexities of the educational sector.
In this episode, they join the editor-in-chief of the podcast to discuss findings from a recent survey conducted among college and university presidents. This survey reveals significant concerns regarding the value of tenure, with many leaders expressing skepticism about its effectiveness. Hummels warns that eliminating tenure could lead institutions to adopt industry-like compensation models to attract qualified faculty, which may not be sustainable.
He draws a parallel between tenure and executive stock options, emphasizing that tenure incentivizes faculty to invest deeply in their institutions. This investment is crucial for developing curricula, hiring processes, and faculty evaluations, ultimately contributing to the institution’s success.
Akridge resonates with the survey’s findings that highlight affordability as a critical issue in higher education. Despite evidence suggesting that the long-term value of a college degree remains high, the perception of debt and tuition costs can deter potential students, particularly those from underserved backgrounds. He stresses the importance of addressing these perceptions to ensure equitable access to higher education.
Only a small fraction of surveyed presidents believe that higher education has effectively addressed the growing diploma divide, which is increasingly influencing voter behavior. In response, the podcast’s host encourages institutions to acknowledge valid criticisms and actively engage with their communities. She cites a successful messaging campaign from a regional college that showcased how its graduates positively impact the local economy, reinforcing the value of higher education.
Hummels also highlights the critical role of academic research in maintaining the competitiveness of the economy. He argues that research is not merely an academic pursuit but a fundamental aspect of national progress and economic success. There is a pressing need to raise awareness about the importance of research in shaping the future of the country.
As the higher education sector continues to navigate these challenges, it is essential for institutions to adapt and innovate, ensuring they remain relevant and accessible to all students.
Classes have been suspended at a major university following a tragic incident on campus, underscoring the need for safety and community support in educational environments.
Upcoming events will focus on creating better incentives and structures to support student transfers and remove barriers for today’s learners, fostering a more inclusive educational landscape.