Overseas students 'vital' to economy. (1 Viewer)

[Fattyboombas]

A DROP of 5 per cent in the number of overseas students at Australian colleges and universities would cause 6300 Australians to lose their jobs as the economy shed more than $600 million in export revenue, a new report warns.


The Access Economics report on the contribution of overseas students to the Australian economy, released today, confirms the export education sector's bullish growth prospects.


It estimates that while overseas students and their families spend $14.1 billion each year in Australia, this creates an extra $12.6 billion in "value added" goods, services and jobs.


The export education industry's total contribution to the Australian economy is more than $26.7 billion.


The report estimates that for every four overseas students who come to

Australia to study, more than one Australian job is created.


But it also warns of the dire consequences of any contraction in overseas student numbers, and models the impact of a "shock" to the national economy of a 5 per cent fall in global demand for Australian education.


Commissioned by the Australian Council for Private Education and Training, which represents more than 1100 private colleges, the report comes a fortnight after the federal Government announced plans to cut the skilled migration intake by 14per cent next year.


There are fears that the Government's shake-up of skilled migration, which is expected to reduce the number of permanent visas by 18,500 next year, could dampen demand from overseas students for Australian education.


Access Economics found, for example, that in 2007-08 more than 21,000 overseas students were granted residency under various visa class applications.


ACPET national executive officer Andrew Smith said the report highlights the risk to Australian jobs if international student numbers are reduced as part of migration reform.


"Our sector is one of the best performing industries in the country, employs more Australians each year and has proven extremely resilient to the impact of the global financial crisis," Mr Smith said.


"In steering Australia through one of the most serious economic crises in history, it is vital that we don't put at risk industries that are performing well, such as our thriving international education industry, in order to protect others that are not."


The report finds that Australia's export education industry grew 42 per cent in the three years to last year, employs 126,000 people, and contributes 1per cent of the nation's GDP.


It confirms that the education sector is the nation's third-biggest export earner behind coal and iron ore, and performs better than travel, services (professional, business and technical), gold, crude petroleum and aluminium.


"Each international student, including their friend and family visitors, contributes an average of $28,921 in value added to the Australian economy and generates 0.29 in full-time equivalent workers," the report finds.


Last year, overseas students spent about $13.7 billion -- including $6.4 billion on education fees and $4.3 billion on food and accommodation -- while visiting friends and family spent $365.8 million.


In addition, Australian education providers earned $438 million from overseas campuses and consultancy services.


While Australia's universities are reporting continued strong international enrolments, concerns remain the market could yet take a hit if the economic downturn bites hard in Asian source countries.


There is also a risk that students will be put under pressure by part-time work opportunities drying up.

This thread is a sort of follow-up for the "Muslim prayer room" thread.

Maybe we should give them their room after all.

oh, and guys, it's scissors.

 

[Iron]

Economic considerations shouldnt be the only, or primary consideration. What about social justice?
Maybe the places overseas need their clever people in medicine, government, education etc. Is it right and just that we snatch talent from the third world?

 

[Fattyboombas]

Economic considerations shouldnt be the only, or primary consideration. What about social justice?
Maybe the places overseas need their clever people in medicine, government, education etc. Is it right and just that we snatch talent from the third world?

I don't think it is, but we're not really 'snatching' them are we?

There really aren't many options in foreign countries anyway.

 

[x.christina]

scissors your avatar is alarmingly disgusting.

 

[staticsiscool]

did u get banned again scixxors?

Iron we aren't poaching them because without an australian uni education they wouldnt be anything, they would be rice growers with above average intelligence

 

[Graney]

Economic considerations shouldnt be the only, or primary consideration. What about social justice?
Maybe the places overseas need their clever people in medicine, government, education etc. Is it right and just that we snatch talent from the third world?

It'd be far more common for them to take our excellent education, return home, and use it for the betterment of their own nation. We're doing foreign nations a favour.

Studying here is no guarantee of a job or residence, which is a completely seperate issue. Should we halt all skilled migration Iron, and only accept crappy paupers, lest we should snatch talent from the third world?

 

[mrcalkin]

did u get banned again scixxors?

Iron we aren't poaching them because without an australian uni education they wouldnt be anything, they would be rice growers with above average intelligence

you know most of them come from well off families in there respected countries. I've talked to a bit at school, and there parents own companies and such

 

[Iron]

It'd be far more common for them to take our excellent education, return home, and use it for the betterment of their own nation. We're doing foreign nations a favour.

Studying here is no guarantee of a job or residence, which is a completely seperate issue. Should we halt all skilled migration Iron, and only accept crappy paupers, lest we should snatch talent from the third world?

I think that the reality is that we only grant student visas in limited areas that the government deem in demand/essential for the economy - accountancy is popular. We assume that they will stay and contribute to the economy. When it comes to the third world, very few want to go back and why should they? Youre a free-market guy, right? Are you suggesting that many/most are that idealistic to return to poverty? I dont have the stats, but I think that most at least tell themselves that when theyre rich in Australia, theyll be able to pay to bring their family out - usually the parents who, you know, sell the house to get their kid in.

I'm only saying that this aspect bears thinking about when we discuss migration, or even foreign aid.

 

[staticsiscool]

Yes obviously, how else would they afford the uni fees. It was obviously not a completely serious post. neg repped for incorrect use of "there"

Edit: @ mrcalkin

 

[S.H.O.D.A.N.]

This thread is a sort of follow-up for the "Muslim prayer room" thread.

Maybe we should give them their room after all.

Um, no. Most of Australia's overseas students are Chinese and Indians. We can certainly afford to lose Arabs and gain Asians if that ever happens.

 

[Fattyboombas]

Um, no. Most of Australia's overseas students are Chinese and Indians. We can certainly afford to lose Arabs and gain Asians if that ever happens.

Haha, God you're ignorant.

A large portion of Indians = Muslim.

 

[S.H.O.D.A.N.]

Haha, God you're ignorant.

A arge portion of Indians = Muslim.

15% is not a large portion. Sorry.

Edit: And the fact remains that by the economics of supply and demand, we can easily afford to offend every Muslim student on the planet and still have more demand for Australian university places from international students than we can ever hope to fill. Not that I'd recommend that.

 

[Fattyboombas]

15% is not a large portion. Sorry.

Well, maybe not, but 15% of the Indian population is a pretty massive number.

150 million? Yeah, that's quite large.

 

[S.H.O.D.A.N.]

Well, maybe not, but 15% of the Indian population is a pretty massive number.

150 million? Yeah, that's quite large.

I think we should be prioritising Indonesian students above other international students. That country has a heck of a lot of economic potential, not to mention they're a stable democratic neighbour and over the past ten years have been moving increasingly close to Australia in terms of defence ties.

They could be a really effective counterweight to Chinese advances in the region, if we just pay them a little more attention.

 

[leisl1990]

I think that the reality is that we only grant student visas in limited areas that the government deem in demand/essential for the economy - accountancy is popular. We assume that they will stay and contribute to the economy. When it comes to the third world, very few want to go back and why should they? Youre a free-market guy, right? Are you suggesting that many/most are that idealistic to return to poverty? I dont have the stats, but I think that most at least tell themselves that when theyre rich in Australia, theyll be able to pay to bring their family out - usually the parents who, you know, sell the house to get their kid in.

I'm only saying that this aspect bears thinking about when we discuss migration, or even foreign aid.

Returning to their countries doesn't necessarily means returning to poverty. If they are from africa, this may be the case. But apparently a enormous amount of foreign students are from the asian pacific region which, everyone knows, is the fastest growing region in the word. They may have better opportunity in their home countries. I dont believe everyone of them comes here because they hate their country.
I wouldn't suggest that every overseas student's parents sell their house to support them in Asutralia. This can be the case for a few but the majority of their family is well off in their home countries and very likely to be more affluent than average australian families.
your point of view is slightly arrogant, assuming everyone wants to be here only for the resisdentship.

 

[08er]

the students themselves may not necessarily be vital to the economy's growth (in the short term at least), but the money they bring in to utilise our educational institutions certainly is.

 

[Fattyboombas]

the students themselves may not necessarily be vital to the economy's growth (in the short term at least), but the money they bring in to utilise our educational institutions certainly is.

Them being here means that they spend money. Them spending money in our country = great for our short-term economic outlook.