It is tempting to put the $249 million phasing out of full-fee domestic undergraduate places at public universities, some details of which were announced yesterday and reported this morning, in the same category as the $562 million wasted in a futile attempt to boost maths and science. Putting the two policies together, $811 million will be spent to add not one extra student place and to actually reduce the total funding universities receive. Even by the very low standards of Australian higher education policymaking, that is pretty spectacular.
The full-fee domestic undergraduate places were always a case of 2nd-best policymaking. The quotas and price controls (the 3rd best policy) crippling the Commonwealth-supported higher education system created artificial shortages of university places in high-demand courses. Allowing universities to offer additional places – or more accurately, allowing univerisites to offer those places to Australians rather than overseas students – alleviated these shortages.
Continue reading “Trying hard to find a redeeming feature in Labor’s full-fee place phase out”