I have temporarily suspended publication of The Wonk Salon in order to work on other projects. Check back in a month or two.
– Jim Bacon
I have temporarily suspended publication of The Wonk Salon in order to work on other projects. Check back in a month or two.
– Jim Bacon
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Posted in 2011, Administration
How a Competitiveness Audit Can Help Create Jobs
by Michael Mandel and Diana G. Carew
Progressive Policy Institute
State, local and federal policy makers don’t know which industries are internationally competitive, which ones aren’t, or whether the gaps are closing or widening. The data doesn’t exist. That lack, argue the authors of this Progressive Policy Institute paper, hinders the pursuit of effective strategies for boosting United States jobs. A Competitiveness Audit would compare the price of selected imports with that of comparable domestically produced goods and services. The size of the ‘price gap’ between imports and domestic production would provide valuable information to guide the allocation of economic development and training funds. “In general, industries that are ‘near-competitive’ will offer the biggest bang for the buck, since assistance might make a difference in regaining market share against comparable imports to the U.S. and in developing export markets overseas.”
Take the furniture industry, for example. “Each month the [Bureau of Labor Statistics] publishes data on the changes in the price of imported household furniture, and data on the changes in the price of domestically-produced furniture. But nowhere can we find data on whether a table from China costs less than a similar table made in North Carolina, and by how much. Knowing the size of the price gap in furniture would make an enormous difference to a state like North Carolina, which has lost 60 percent of its furniture-making jobs since 20001, many to China. If the price differential is only 10 percent, then some of those furniture-making jobs might come back as exchange rates adjust or as wages rise overseas. But if the price differential is 40 percent, those jobs are probably gone for good, and would unlikely be helped even by strategic investment.”
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Posted in 2011, Economic development, Economy
Reducing Greenhouse Gases from Personal Mobility: Opportunities and Possibilities
by Wendell Cox
Reason Foundation
Current proposals for reducing GHGs from automobiles would require implementation of compact development by means of strong land use restrictions. Technological alternatives for reducing GHG emissions have received considerably less attention but are far more promising, argues Wendell Cox in this Reason Foundation paper. Compact development is incapable of reducing GHG emissions within the Intergovernmental Panel on Climate Change’s $50-per-ton maximum expenditure for CO2 emissions. “Compact development’s higher than necessary expenditures could reduce economic growth, increase congestion costs, and result in public resistance and greater social imbalances.” By contrast, “New technologies have the potential to achieve substantial GHG emission reductions at costs within the $50 IPCC maximum expenditure per ton. This could be accomplished while preserving quality of life. As a result, public acceptance is more likely.”
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Posted in 2011, Environment, Transportation
Prepared in Mind and Resources? A Report on Higher Education in South Carolina
South Carolina Policy Council
Summary quote: “When taken as a whole, the findings of this report are troubling. Many students throughout the state can graduate with large gaps in their knowledge. Tuition and
costs are rising rapidly, and families are being asked to pay more and more of their hard-earned dollars. Meanwhile, graduation rates remain woefully low. There is little evidence that either the Commission or the institutional boards have a coordinated or consolidated vision. The state’s desire to ensure high academic quality, affordability, and accessibility—and the clear challenges to the goals documented in this report—make a review of the state’s higher education governing structure both urgent and timely.”
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Posted in 2011, Higher education
Mobility Makers
by Tom Hilliard
Center for an Urban Future
Community colleges are a key platform for low-income people to move into the middle class. Unfortunately, too few people who enroll at community colleges end up graduating or moving on to earn a bachelor’s degree. This paper published by the Center for an Urban Future estimates that increasing graduation rates at New York City’s six community colleges by just 10 percentage points for the class that entered in 2009 would provide a $71 million one-year boost to the city and state: a $16 million boost in annual earnings (of which $2.1 million would go to the city and state in tax revenues), $28.5 million in economic activity as higher-earning college graduates spend their income in their neighborhoods, and $26.5 million in taxpayer investment going towards college graduates instead of college dropouts.
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Posted in 2011, Higher education
Making College Affordable
Third Way
The cost of going to a public university has risen 80% in just the past 10 years. Two out of three college students today are graduating with student debt, versus fewer than half in 1993, and they are borrowing more. Under the plan outlined in this Third Way position paper, families earning up to $200,000 would receive a generous new college tuition tax cut in the form of a $5,000 credit toward the costs of college tuition, fees and books. The credit would replace and expand existing education tax credits and deductions, such as the Hope Credit and the Lifetime Learning Credit, which all carry different and potentially confusing rules and eligibility requirements. “A single, simple, super-sized credit would ensure a generous benefit for all families with a student in school.”
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Posted in 2011, Higher education
Literary Research Costs and Impact
by Mark Bauerlin
Center for College Affordability and Productivity
Universities are known for hiring, paying and promoting professors according to the “publish or perish” principle. Accordingly, professors invest considerable time writing books and journal articles. Is the outcome worth the investment, asks Mark Bauerlin in this paper published by the Center for College Affordability and Productivity? More specifically, is research publication the best use of university resources and talent in the humanities?
In his review of four university English departments, Bauerlin finds: (1) universities make substantial investments in faculty research through direct compensation; (2) faculty members produce numerous scholarly books and articles; and (3) the vast majority of these publications attract meager attention from other scholars. “There is a glaring mismatch between the resources these universities and faculty members invest and the impact of most published scholarship,” he writes. “Despite the scant attention paid to this scholarship, a faculty member’s promotion and annual review depends heavily on the professor’s published work. A university’s resources and human capital is thereby squandered as highly-trained and intelligent professionals toil over projects that have little consequence.”
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Posted in 2011, Higher education
Use of New Data Could Help Improve Oversight of Distance Education
Government Accountability Office
From the overview: “As the largest provider of financial aid in higher education, with about $134 billion in Title IV funds provided to students in fiscal year 2010, the Department of Education (Education) has a considerable interest in distance education. Distance education — that is, offering courses by the Internet, video, or other forms outside the classroom — has been a growing force in postsecondary education and there are questions about quality and adequate oversight.”
In 2009, Education selected 27 schools for distance-education monitoring but lacked the data to identify schools with high enrollments in distance education, so there was no assurance it was tracking high-risk schools. This year the department’s National Center for Education Statistics (NCES) will start collecting data on distance-learning enrollment. However, the department’s Office of Federal Student Aid (FSA), responsible for monitoring Title IV compliance, was not involved in the process of deciding what distance education information would be collected. Further, FSA officials said they do not yet have a plan on how they will use the new data in monitoring.
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Posted in 2011, Higher education
General Education, Vocational Education, and Labor Market Outcomes over the Life-Cycle
by Eric A. Hanushek, Ludger Woessman and Lei Zhang
National Bureau of Economic Research
From the abstract: “Policy debates about the balance of vocational and general education programs focus on the school-to-work transition. But with rapid technological change, gains in youth employment from vocational education may be offset by less adaptability and thus diminished employment later in life. To test our main hypothesis that any relative labor-market advantage of vocational education decreases with age, we employ a difference-in-differences approach that compares employment rates across different ages for people with general and vocational education. Using micro data for 18 countries from the International Adult Literacy Survey, we find strong support for the existence of such a trade-off, which is most pronounced in countries emphasizing apprenticeship programs.”
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Posted in 2011, K-12 education, Labor & workforce
Disadvantaged Business Enterprise Program: Assessing Use of Proxy Data Would Enhance Ability to Know if States Are Meeting their Goals
Government Accountability Office
From the overview: “The U.S. Department of Transportation’s (DOT) Disadvantaged Business Enterprise (DBE) program aims to increase the participation of small businesses owned and controlled by socially and economically disadvantaged individuals — known as DBEs — in highway contracting. In 2009, U.S. DOT awarded, through state and local governments, about $4 billion to DBEs nationwide. State DOTs are required to establish DBE programs and implement them on federal-aid highway projects.
The Federal Highway Administration faces two big problems with the data it collects from state DOTs to assess whether they are meeting DBE goals. First, state data can cover multiple fiscal years and cannot be meaningfully compared to DOTs’ one-year DBE goals. Second, data on committed spending on DBEs — the proxy measure that FHWA uses instead to measure whether goals were met — shows that about half of the state DOTs met their DBE goals each fiscal year from fiscal years 2006 through 2010; however, FHWA has not conducted a nationwide analysis comparing committed to actual spending to know whether committed spending reflects actual spending for DBEs in all state DOTs.
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Posted in 2011, Administration, Race and minorities