At the threshold of the third millennium, public policy decisions regarding higher education must respond to a wide variety of far-reaching changes taking place throughout Indonesian society. Significant shifts in social stratification, enrollment demand, cost containment, consensus on financial support, concerns about quality, and technological advancement will have serious impacts on higher education. Policymakers must recognize that state mandates, regulations and funding formulas stand as major impediments to improving higher education. They provide little incentive for institutions to work together on issues of mutual concern—improvement of lower-division instruction, purposeful growth, and expansion of technology-based education programs. In many ways, they place significant constraints on institutions’ ability to cut costs, develop new programs, collaborate with one another and experiment with new ways of doing things. New ways of structuring, governing and financing higher education are needed, such as decentralization and deregulation, performance-based funding models, increased investment in technology, and a greater emphasis on strategic planning, coordination and partnership.
KeywordsEconomic Crisis Europe Income Social Stratification Lution
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