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I'm genuine curious what economic benefits this brings. With the very limited economics I've learned, most students are net spenders in the country, them being
by yizhang7210 6y ago
I'm genuine curious what economic benefits this brings. With the very limited economics I've learned, most students are net spenders in the country, them being here will only pour more money in. Economically, how does stopping them coming in help anyone?
- maxchisto 6y agoDriving down aggregate demand for higher education can help bring down the cost (how effectively would depend on the elasticity of supply, which I'm not sure about). Fresh grads coming out of college with less debt should lead to higher aggregate spending in other sectors.
- yizhang7210 6y agoThis is interesting. But this sounds like a long term effect right? Presumably universities aren't lowering tuitions just because of this semester?
- maxchisto 6y agoYeah, long term. Also, idk if that was the intention or if it will work. I just tried to think of any theoretical benefits. Not shure what universities are doing. There are a lot of them. So far I've heard that Harvard will continue charging the same while pushing big chunk of students online. You're right about benefits of foriegn capital flowing into US through international students. Net result can very well be negative.
- bialpio 6y agoIt helps politicians to get elected. Immigrants don't vote (they can't), citizens with anti-immigrant sentiments do.
- yizhang7210 6y agoI mean this is obviously part of the consideration. But I'm curious about rational economic gains if there're any.