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The Globalization of Postsecondary Education: The Role of International Students in the US Higher Education System

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  • John Bound
  • Breno Braga
  • Gaurav Khanna
  • Sarah Turner

Abstract

In the four decades since 1980, US colleges and universities have seen the number of students from abroad quadruple. This rise in enrollment and degree attainment affects the global supply of highly educated workers, the flow of talent to the US labor market, and the financing of US higher education. Yet, the impacts are far from uniform, with significant differences evident by level of study and type of institution. The determinants of foreign flows to US colleges and universities reflect both changes in student demand from abroad and the variation in market circumstances of colleges and universities, with visa policies serving a mediating role. The consequences of these market mechanisms impact global talent development, the resources of colleges and universities, and labor markets in the United States and countries sending students.

Suggested Citation

  • John Bound & Breno Braga & Gaurav Khanna & Sarah Turner, 2021. "The Globalization of Postsecondary Education: The Role of International Students in the US Higher Education System," Journal of Economic Perspectives, American Economic Association, vol. 35(1), pages 163-184, Winter.
    • Handle: RePEc:aea:jecper:v:35:y:2021:i:1:p:163-84
    DOI: 10.1257/jep.35.1.163
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    3. Choudhury, Prithwiraj & Ganguli, Ina & Gaulé, Patrick, 2023. "Top Talent, Elite Colleges, and Migration: Evidence from the Indian Institutes of Technology," Journal of Development Economics, Elsevier, vol. 164(C).
    4. Gordon H. Hanson, 2021. "Immigration and Regional Specialization in AI," NBER Working Papers 28671, National Bureau of Economic Research, Inc.
    5. Natee Amornsiripanitch & Paul A. Gompers & George Hu & Kaushik Vasudevan, 2021. "Getting Schooled: The Role of Universities in Attracting Immigrant Entrepreneurs," NBER Working Papers 28773, National Bureau of Economic Research, Inc.
    6. Arnaud Chevalier, 2022. "How to attract international students?," IZA World of Labor, Institute of Labor Economics (IZA), pages 1-36, May.
    7. David M. N. Mahon & Carlos J. Asarta, 2024. "Why are Schools Reclassifying Their Economics Major?," Eastern Economic Journal, Palgrave Macmillan;Eastern Economic Association, vol. 50(1), pages 103-116, January.
    8. Otavio Conceiçaõ & Rodrigo Oliveira & André Portela Souza, 2023. "The impacts of studying abroad: Evidence from a government-sponsored scholarship program in Brazil," WIDER Working Paper Series wp-2023-49, World Institute for Development Economic Research (UNU-WIDER).
    9. Murat Demirci, 2021. "Rising Political Populism and Outmigration of Youth as International Students," Koç University-TUSIAD Economic Research Forum Working Papers 2123, Koc University-TUSIAD Economic Research Forum.
    10. Demirci, Murat, 2023. "Youth responses to political populism: Education abroad as a step toward emigration," Journal of Comparative Economics, Elsevier, vol. 51(2), pages 653-673.
    11. Catalina Amuedo‐Dorantes & Kevin Shih & Huanan Xu, 2023. "The implications of optional practical training reforms on international student enrollments and quality," Economic Inquiry, Western Economic Association International, vol. 61(2), pages 253-281, April.
    12. Tatiana Mocanu & Pedro Tremacoldi‐Rossi, 2023. "The impact of international students on housing markets," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 56(2), pages 647-675, May.
    13. Amornsiripanitch, Natee & Gompers, Paul A. & Hu, George & Vasudevan, Kaushik, 2023. "Getting schooled: Universities and VC-backed immigrant entrepreneurs," Research Policy, Elsevier, vol. 52(7).

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    More about this item

    JEL classification:

    • I22 - Health, Education, and Welfare - - Education - - - Educational Finance; Financial Aid
    • I23 - Health, Education, and Welfare - - Education - - - Higher Education; Research Institutions
    • I26 - Health, Education, and Welfare - - Education - - - Returns to Education

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