Improving Access and Opportunity to Tertiary Education in New Zealand

1
Improving Access and Opportunity to Tertiary
Education in New Zealand

• Maureen A. McLaughlin
• 2002 Ian Axford Fellow in Public Policy
• New Zealand Ministry of Education
• U.S. Department of Education
• Fulbright Lecture
• Victoria University of Wellington
• 23 July 2002

2
Summary Improving Access and Opportunity in New
Zealand

• Access to tertiary education in NZ, as measured
  by overall participation, has increased
  substantially since the mid-1980s.
• Significant disparities exist, however, for
  ethnic groups and for students from low-decile
  schools.
• This opportunity gap means the goal of broadening
  access has not been solved in NZ.
• The current public policy debates on tertiary
  education in NZ have tended to focus on system
  direction, the level of financial resources,
  fees, student support and student debt. While
  financial resources are obviously important they
  are not the only factor.
• International experience suggests lowering fees
  alone will not close the opportunity gap.
• Student support is a necessary, but not
  sufficient, condition to improve access and
  opportunity.

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Summary Improving Access and Opportunity
(continued)

• Research in NZ and elsewhere suggests that
  raising expectations and improving academic
  preparation for students before they enter
  tertiary education are key policies to close the
  opportunity gap.
• Thus, in NZ, significant differences in academic
  preparation for ethnic groups and students in
  low-decile schools must be narrowed before
  opportunity gaps will be closed.

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Outline of Presentation

• Defining access and opportunity to tertiary
  education
• Policies put in place since the late 1980s that
  have affected access and opportunity to tertiary
  education
• Changes in patterns of access and opportunity
• By type of tertiary institution
• By ethnic group
• By socioeconomic status of secondary school
  attended
• The importance of better preparation and raised
  expectations for students before they enter
  tertiary education to close opportunity gaps
• Strategies New Zealand might undertake to reduce
  these gaps

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I. Defining Access and Opportunity to Tertiary
Education

• Overall participation in tertiary education is
  one measure of access.
• Opportunity to enroll in all levels of tertiary
  education and to succeed once there is a broader
  definition of access.
• Achieving similar participation patterns across
  the different levels of tertiary education for
  different groups of students would indicate equal
  opportunities.
• Unequal participation patterns signify an
  opportunity gap.
• This does not mean that everyone should attend
  tertiary education or that everyone should go to
  a university.
• But significant gaps across groups in
  participation in the different tertiary levels
  are a real cause for concern.

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Why is Improving Access and Closing the
Opportunity Gap So Important?

• More and more need for tertiary education and
  lifelong learning in a global economy.
• Significant social and economic benefits exist
  for individuals and for the country.
• For example, more participation in tertiary
  education results in higher earnings, lower
  unemployment, improved health, and lower crime.
• Increasing earnings inequality between less
  educated and more educated.
• Makeup of New Zealands population is changing so
  that groups that currently have lower levels of
  educational attainment will represent a much
  larger share of the population in future years.

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II. Policies in New Zealand that Affect Access
and Opportunity

• New Zealand has made many policy changes in
  tertiary education since the mid-1980s that have
  contributed to increased participation.
• As a result, New Zealand has moved from an elite
  system with low participation to a mass system
  with high participation.
• Participation increased at the same time that
  costs for students and families increased.
  Increased private contributions coupled with a
  demand-driven system made the expansions
  possible. This shift in financing runs counter
  to what some believe--that greater access can
  best be achieved with free tertiary education.
• Changing economic conditions throughout the world
  motivated New Zealands initial changes in
  tertiary education. Economic factors and New
  Zealands competitive position internationally
  continue to be important factors in tertiary
  education policy.

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Summary of Policies Since the Mid-1980s that
Affected Tertiary Participation

• Before the late-1980s, NZ had an elite tertiary
  system.
• Relatively low participation rates
• Government paid all or most of the costs
• Many market-based policies since the late 1980s
  have contributed to increased participation
  rates.
• Creation of a demand-driven funding system
• Increased private contributions through higher
  fees
• Shift from universal to targeted allowances for
  living costs
• Creation of student loans to help students pay
  fees and living costs
• Many more options for students as polytechnics
  moved into new areas, private training
  establishments (PTEs) expanded, and wananga were
  created

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III. Changing Patterns of Access and Opportunity
in Tertiary Education

• Significantly increased participation since the
  late 1980s. Three different measures of
  participation all show big increases
• Numbers of students more than doubled
• From roughly 120,000 students in 1985 to 282,800
  in 2001
• Participation rates increased significantly.
  Between 1990 and 2001, the proportion enrolled
  increased
• From 20.5 percent to 34.8 percent for 18-24 year
  olds
• From 2.7 percent to 5.9 percent for those over 24
  years of age
• Percent of students going on to tertiary
  institutions immediately after leaving school
  increased
• From 39 percent in 1992 to 45.2 percent in 1999
• Data constraints limited years for comparable
  data.

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Do the Big Increases in Participation Mean that
New Zealand has Solved its Tertiary Access
Problems?

• Some say that the big jump in participation means
  that New Zealand has solved tertiary access
  problems Is this true?
• Need to look more carefully at participation
  patterns
• By type of tertiary education
• By ethnic group
• By secondary school decile
• School decile is a categorization of schools
  based on the neighborhood in which the school is
  located. A low-decile school is in a poor
  neighborhood.
• U.S. data indicate that students at high poverty
  schools--a similar kind of measure to
  low-decile--are more educationally at risk even
  if the individual student is not poor.

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Participation Patterns of All Students

• Number of students more than doubled between 1985
  and 2001. Growth occurred both at institutions
  existing at that time and in newly created or
  newly eligible institutions. The current
  distribution of students is quite different from
  the enrollment mix in the mid-1980s.
• In 1985, about half of students were enrolled in
  universities and half in polytechnics, with 2
  percent in colleges of education.
• In 2001, students at universities equaled 44 of
  total enrollments, while students at polytechnics
  fell to 31. Students at colleges of education
  equaled 4, wananga equaled 4 and PTEs 18.
• The proportion of students going onto tertiary
  education immediately after leaving school
  increased from 39 to 45 percent between 1992 and
  1999. Two thirds of this increase occurred at
  PTEs.
• Recent growth--between 2000 and 2001--occurred
  almost entirely in wananga and PTEs (90 percent).

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Participation Patterns What Level of Tertiary
Education?

• Level of education varies substantially by type
  of institution
• Universities--most students are at degree or
  postgraduate level (90 percent).
• Polytechnics--spread across the levels--20
  percent at degree or postgraduate 23 percent at
  diploma and 56 percent at certificate.
• Colleges of education--predominantly in degree
  and above (68 percent) but 24 percent in diploma
  and 8 percent in certificate.
• Wananga--most students (91 percent) at diploma or
  certificate level, especially certificate level
  (81 percent).
• PTEs--almost all students (96 percent) are at
  certificate or diploma level, more heavily
  certificate (74 percent).

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Participation Patterns of Maori Students

• In 2001, almost 50,000 Maori students were
  enrolled in tertiary education, a 60 increase
  since 1994.
• Maori students are much more heavily represented
  at wananga and PTEs than overall students and
  significantly underrepresented at universities.
• Almost equal numbers of Maori students attend
  polytechnics and PTEs (in total 56 percent).
• Twenty percent of Maori attend university.
• Twenty percent of Maori attend wananga.
• Almost 3 percent attend colleges of education.
• Maori students are disproportionately represented
  at the lower levels of tertiary education almost
  three-quarters of Maori students are enrolled in
  diploma or certificate programs where enrollments
  are growing most rapidly.

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Where Do Maori Students Go Immediately After
Leaving School Compared to Other Students?

• Maori school leavers are also much less likely
  to enroll in tertiary education than other
  students and are disproportionately represented
  at the lower levels of tertiary education.
• Twenty eight percent of 1999 Maori school
  leavers go on to a tertiary institution
  immediately after leaving school compared with 45
  percent for all school leavers.
• Only 10 percent of all Maori school leavers
  enroll in a university compared with 25 percent
  for all school leavers.
• An additional 18 percent of Maori enroll in
  transition programs run by Skill New Zealand
  compared with 6 percent for all school leavers

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Participation Patterns of Pacific Students

• In 2001, 12,400 Pacific students were enrolled in
  tertiary education, slightly more than twice the
  number enrolled in 1994.
• Pacific students are much more heavily
  represented at PTEs than overall students and are
  underrepresented at universities.
• Thirty one percent of Pacific students attend
  polytechnics.
• Thirty five percent of Pacific attend university.
• Twenty five percent of Pacific students attend
  PTEs.
• Three percent of Pacific students attend wananga.
• Five percent of Pacific students attend colleges
  of education.

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Where Do Pacific Students Go Immediately After
Leaving School Compared to Other Students?

• Pacific school leavers are much less likely
  enroll in tertiary education than other students
  and are disproportionately represented at the
  lower levels of tertiary education.
• Thirty three percent of 1999 Pacific school
  leavers go on to a tertiary institution
  immediately after leaving school compared with 45
  percent for all school leavers.
• Only 13 percent of all Pacific school leavers
  enroll in a university compared with 25 percent
  for all school leavers.
• Pacific students are almost twice as likely to
  enroll in PTEs than other school leavers.
• An additional 9 percent of Pacific enroll in
  transition programs run by Skill New Zealand
  compared with 6 percent for all school leavers.

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Participation Patterns Where Do Students From
Low-Decile Schools Enroll?

• Students from low-decile schools are less likely
  to enroll in tertiary education and are more
  heavily represented in lower levels of tertiary
  education than students from high-decile school
• Thirty one percent of 1999 school leavers from
  low-decile schools enrolled in tertiary
  institutions compared with 54 percent for
  students from high-decile schools.
• Only 12 percent of students in low-decile schools
  enrolled in universities compared with 44 percent
  for high-decile schools.
• Thirteen percent of low-decile school leavers
  enrolled in transition programs run by Skill New
  Zealand compared with 4 percent among high decile
  students

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Participation Patterns Where Do Students From
Middle-Decile Schools Enroll?

• Students from middle-decile schools are also less
  likely to enroll in tertiary education and are
  more heavily represented in lower levels of
  tertiary education than students from high-decile
  schools
• Forty-two percent of 1999 school leavers from
  middle-decile schools enrolled in tertiary
  institutions compared with 54 percent for
  students from high-decile schools.
• Twenty one percent of students in middle-decile
  schools enrolled in universities compared with 44
  percent for high-decile schools.
• Eight percent of middle-decile school leavers
  enrolled in transition programs run by Skill New
  Zealand compared with 4 percent among high decile
  students

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Conclusion There is a Significant Opportunity
Gap to Tertiary Education in New Zealand

• Significant differences exist in overall tertiary
  participation rates and in participation across
  the different levels of tertiary education
• Maori and Pacific students are underrepresented
  in tertiary education, especially at the higher
  levels of tertiary education.
• Students from low- and middle-decile schools are
  also underrepresented in tertiary education
  relative to students at high-decile schools,
  especially at the higher levels of tertiary
  education.

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IV. Improving Academic Preparation and Raising
Student Expectations are Key to Closing Equity
Gaps

• Academic preparation is a key variable in closing
  the gap in tertiary education.
• Research clearly shows the importance of academic
  preparation.
• While individuals from families with lower
  socioeconomic status (including parental
  education) are less likely to enroll in tertiary
  education than individuals with higher
  socioeconomic status, rigorous secondary school
  preparation has a positive effect and can
  substantially narrow the gaps in tertiary
  participation.
• Research based on Christchurch longitudinal data
  finds academic preparation is an important factor
  in reducing disparities in tertiary
  participation.
• Studies by Maani and Fergusson/Woodward

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Other Research Confirms the Importance of
Academic Preparation in Determining Tertiary
Success

• Many U. S. studies find that academic preparation
  is a key variable in addressing the opportunity
  gap.
• Academic preparation, especially mathematics, is
  an important factor in increasing the chance of
  going onto college and succeeding once there.
  Algebra and geometry are especially important.
• Decisions made in middle school years (ages 12 to
  14) about courses and academic performance affect
  the likelihood of tertiary success.
• Recent Australian Study
• A recent study found that the strongest influence
  on tertiary entrance scores in year 12 was
  literacy and numeracy in year 9, with numeracy
  having a stronger relationship.
• New Zealands Competent Children Study
• Soon-to-be-published data on competencies of a
  cohort of children from age 5 to 12 found
  mathematics, followed by comprehension and
  literacy, to be most strongly associated with
  later social and academic competencies.

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Academic Preparation Maori Students

• Maori students are much less well prepared
  academically to enter tertiary education than
  other students. Among 2001 school leavers,
• Seven percent of Maori students had a
  qualification at the entrance to university level
  or higher compared with 26 percent for all school
  leavers.
• Thirty three percent of Maori students left
  school with no qualification compared with 17
  percent for all students.
• This picture has been unchanged since 1993, first
  year comparable data are available.

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Academic Preparation Pacific Students

• Pacific students are much less well prepared
  academically to enter tertiary education than
  other students. Among 2001 school leavers,
• Ten percent of Pacific students had a
  qualification at the entrance to university level
  or higher compared with 26 percent for all school
  leavers.
• Twenty five percent of Pacific students left
  school with no qualification compared with 17
  percent for all students.
• This picture has been unchanged since 1993, first
  year comparable data are available.

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Academic Preparation Low-Decile Schools

• Students attending low-decile secondary schools
  are much less well prepared academically to enter
  tertiary education than students from high-decile
  schools. Among 2001 school leavers,
• Ten percent of low-decile students had a
  qualification at the entrance to university level
  or higher compared with 42 percent for students
  at high-decile schools.
• Thirty percent of students from low-decile
  schools left school with no qualification
  compared with 7 percent for students from
  high-decile schools.
• This picture has not improved in the past few
  years and may have deteriorated a bit.

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Academic Preparation Middle-Decile Schools

• Students attending middle-decile schools are less
  well prepared academically to enter tertiary
  education than students from high-decile schools.
  Among 2001 school leavers,
• Twenty one percent of middle-decile students had
  a qualification at the entrance to university
  level or higher compared with 42 percent for
  students at high-decile schools.
• Eighteen percent of students from middle-decile
  schools left school with no qualification
  compared with 7 percent for students from
  high-decile schools.
• This picture has not improved in recent years and
  may have deteriorated a bit.

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V. Strategies for Closing Opportunity Gaps

• As a small country with a strong egalitarian
  outlook, New Zealand could become an
  international leader in addressing persistent
  opportunity gaps. Well-coordinated strategies
  across educational levels and across policy
  instruments and a focus on lower decile schools
  could make a big difference.
• Educational levels. This analysis highlights the
  need for improved academic preparation in
  secondary schools to close gaps in tertiary
  opportunities.
• Policy instruments. Strategies should include
  improved academic preparation and expectations,
  student financing and institutional financing.
• Focus on students at lower decile schools.
  Students at lower decile schools are most in need
  and include disproportionate numbers of Maori and
  Pacific students.

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A Strategy for Closing the Opportunity Gap Might
Include the Following

• Making Improving Opportunity a Key Part of
  Implementation of the Tertiary Strategy
• Creating Early Intervention School/Tertiary
  Partnerships
• Providing More Information Earlier
• Improving Student Financing for Low-Income
  Students
• Paying Institutions More for Enrolling Targeted
  Groups of Students
• Developing a Strong Research Agenda

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Making Improving Opportunity a Key Part of
Implementation of the Tertiary Strategy

• The Government recently released the Tertiary
  Education Strategy for 2002-2007.
• The strategy is the guiding document for the
  tertiary system for the next five years.
• Several of the goals in the strategy relate to
  access and opportunity. More progress could be
  made if tertiary opportunity--including the kinds
  of policy options discussed here--were made a key
  part of the strategys implementation.

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Creating Early Intervention School/Tertiary
Partnerships

• Create partnerships of low-decile schools and
  tertiary institutions with community and business
  involvement to work with whole schools or whole
  grades to improve students chances to attend
  tertiary successfully.
• Partnerships and government share the costs
  through matching funds.
• Partnerships start early, at the beginning of
  secondary schooling, and stay with students
  through school leaving.
• Includes an emphasis on academic preparation,
  tutoring, mentoring, information on preparation,
  costs, and student support and, in some cases,
  scholarships.
• U.S. created such a program, Gaining Early
  Awareness and Readiness for Undergraduate
  Placement (GEAR UP), several years ago based on
  proven models.

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Providing More Information Earlier

• Provide academic and financial information
  earlier so that students and families have the
  full picture of what they need to do at an
  earlier stage.
• This information is especially necessary for
  students from families with little or no previous
  exposure to tertiary education.
• Information for students in NZ tends to emphasize
  career options over tertiary information and is
  provided to students late in their secondary
  schooling. Information on tertiary institutions
  is also limited.
• Misperceptions about tertiary opportunities, the
  level of costs, availability of allowances, and
  student debt are also likely to contribute to the
  opportunity gap. Research in the US found that
  perceptions of costs and financial aid were often
  inaccurate.
• Misperceptions can create their own reality.

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Improving Student Financing for Low-Income
Students

• U.S. research shows that price does affect
  enrollment for low-income students and that
  financial incentives can influence achievement.
• Targeted financial assistance to students would
  be more effective in addressing the opportunity
  gap than subsidies provided to all students.
• Grants to cover fees for low-income students
  would complement allowances and could be designed
  to encourage and reward improved achievement.
• Could target grants to students at lower decile
  schools as part of a focused initiative on
  schools where academic preparation and income are
  lowest.
• Could further target grants for higher levels of
  tertiary education and for high-performing
  students thereby focusing on both financial need
  and academic preparation.
• Could be part of school/tertiary partnerships.
• Encourage savings. If savings accounts are
  established could target financial incentives on
  students with low family incomes or students at
  low-decile schools.

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Paying Institutions More for Enrolling Targeted
Groups of Students

• Build a low-income component into institutional
  funding formulae to provide incentives for
  institutions to enroll and help students who are
  most at risk.
• The fourth report of the Tertiary Education
  Advisory Commission identified a need to provide
  incentives to providers relating to particular
  types of learners. They proposed a Learner
  Add-on and a Learner Index to provide some
  additional funding for additional costs incurred
  with some students.
• Funding could also come through early
  intervention school/tertiary partnerships.

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Developing a Strong Research Agenda

• Data and policy studies using data are essential
  for good policy making, program design, and
  implementation. Use data to inform decisions.
• Have used U.S. research to complement New
  Zealands analysis and data. More in-depth
  research on New Zealands experiences would be
  particularly helpful in designing effective
  policies to reflect New Zealands unique
  characteristics.
• Longitudinal data on a cohort of students
  beginning when they are in school though tertiary
  completion and into the labor market or graduate
  school are essential.
• Develop research agenda for tertiary education to
  examine issues of access and equity, including
  the effects of fees, loans, student expectations
  and academic preparation.
• Build evaluation into all initiatives from the
  beginning.

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Conclusion

• Tertiary participation in New Zealand still needs
  attention, in particular the opportunity gap.
• Access to tertiary education, as measured by
  overall participation, has improved in New
  Zealand since the mid-1980s.
• Opportunity gaps, as measured by disparities in
  tertiary participation for ethnic groups and
  students from low-decile schools, are
  significant.
• Coordinated policies and early intervention in
  low-decile secondary schools could make NZ a
  leader in improving access through reduced
  opportunity gaps.