Free tertiary education is an ideal that promotes societal equality, and is especially attractive to students from lower socio-economic backgrounds. As a nation, Australia relies on human capital that generates wealth and improves the overall standard of living for everyone. However, in reality there is no such thing as ‘free’ education as the funding to maintain huge universities has to come from somewhere. This leads to the actual question. Should the government (taxpayer) or student foot the bill for higher education?
There are several factors at play in determining the best way forward. On one hand, all Australians should be provided with an opportunity to undertake higher education, for without it, the expansion of lower socio-economic urban enclaves will perpetuate a cycle of dependency on government handouts in other forms. On the other hand, ‘free’ education is an economic issue that puts stress on government finances.
The changing face of Australian universities
This has become especially prevalent during the past few decades as universities have expanded and new campuses opened at unprecedented rates. The ideals heralded in by Gough Whitlam in the 1970s, although admirable, bear little resemblance to the needs of today and the changing structure of Australian universities in the 21st Century.
- The massive expansion of our education system
- Pre-tax lifetime incomes of graduates exceeding non-graduates by more than A$1 million
- Less than 10 percent of Australian university students come from lower socio-economic backgrounds
- The prohibitive cost of living for students relocating to Australian cities
- The approximately 70 percent of adult Australians who don’t go to university are forced to pay (via taxes) for those who do attend university
- 20 percent of Australian university students are from overseas, compared to a worldwide average of 7 percent
- Australia has the most expensive degree costs in the world
- Moves in countries such as Germany and Sweden to provide 100 percent free education
The above considerations reveal that Australia requires a home-grown solution to the free education dilemma. Our tendency to mimic or copy overseas education structures won’t actually solve localised issues.
Finding the middle ground
A more suitable debate could avoid the issue of ‘free’ or ‘not free’ and instead focus on ‘who should pay and how much should they pay?’ Our Australian ideal of fairness to all shouldn’t be interpreted as one size fits all, but could instead include a tiered system that assists students in need without hampering the progress of those who are better off financially. Education that is free for everyone actually distributes inequitable resources to those from privileged backgrounds who could otherwise be paying for studies.
Proponents of university fee deregulation, as suggested by the Australian Government in 2014, argue that wealthier universities will be able to flourish by providing courses and facilities that best suit their students, including provision for those students from challenging economic backgrounds.
Opponents of fee deregulation argue that wealth is a corrupting influence that will only stimulate universities to increase overseas student numbers, along with the development of research facilities designed to improve global university rankings and enhance in-house prestige, without tangible benefits for the majority of students.
The ‘no change’ option
Whichever way the dice rolls, there will be supporters and detractors of the system. Our uniquely Australian situation requires well thought out solutions that avoid alienating students, faculty or sponsors, while retaining the highly regarded reputation of our tertiary institutions. The debates of the past year have resulted in criticism of our institutions both at home and from abroad, and it’s important that steps are taken to allay any concerns that we are losing our way.
Another option, and one that is gaining support, is the ‘if it ain’t broken, don’t fix it’ solution. After all, we must be doing something right in garnering such glowing support for our universities. Overseas students are flocking here due to our reputation for high-quality education, and the HECS-HELP system has been roundly supported by Australian students from all corners of society.
Sure, there might need to be a little tweaking of things to ensure no one factor diminishes the efficacy of the overall education strategy, but a complete overhaul of study financing seems a step too far in the opinion of many Australians.