“America needs talent more than ever, but Americans aren’t yet fully grasping that college is the best way to ensure that supply of talent.” - Jamie Merisotis, America Needs Talent
Ohio’s near-term economic future is in the balance. Ohio faces a projected $1 billion deficit, and in these final days of the state legislative session, legislators must pass a balanced state budget by June 30.
After having worked on nine biennial state budgets over my public service career, I know that our state legislators do not have any easy choices. Their choices rarely are between the good guys and the bad guys. They face tough choices between the good guys and the good guys.
In the midst of a budget crisis, it is understandable that the focus is on cutting costs. But smart budgeting is also about making wise investments. Ohio can’t cut its way to prosperity. Legislators would be wise to remember the adage, “If all you have is a hammer, everything looks like a nail.”
So we must ask what is the single public policy investment that has the greatest return on investment? Put another way, what is the secret sauce to a citizen’s economic success? A city’s, state’s, or nation’s economic success? Surprisingly , the answer is remarkably clear. Among economists, it’s not in dispute. The answer- educational attainment. While the best long-term public policy investment is early childhood education, the best near-term investment is higher education.
The single most important metric of economic growth is per capita income. Raising the nation’s college attainment rate by just one percent means atalent dividend of increased per capita income of $111 billion per year for the nation. Each one percentage point increase in degree attainment inNortheast Ohio has a positive $2.8 billion increase in the per capita income for our region. A college degree returns 15.2 percent a year, more thandouble the return to stock market investments since the 1950s, and five times more than the return to bonds, gold, or government bonds.
In Ohio, 64% of all jobs will require some postsecondary education by 2020. Today, however, just over 43 percent of working-age Ohioans have a postsecondary certificate or degree and Ohio ranks 40th out of 50 states in state fiscal support for higher education per capita.
Our higher education institutions must do a better of job of educating students for the 21st century and providing more need-based financial aid to students who cannot afford the cost of college. However, we cannot afford to treat our colleges and universities as cost centers. Rather, they are economic engines and talent magnets in which we must invest.
If I learned anything during my 18 years of public service, it can traced back to the words of one of my law school professors, “A fence at the top of the cliff is better than an ambulance below.” In these final days of work on the state budget, I urge my former legislative colleagues to strengthen the higher education fence at the top of the cliff.
In honor of our historic 120th anniversary, please help us address the vital importance of higher education to our future by investing in our 120 Scholarship Campaign. Please consider a contribution or pledge today ranging from $120 to $12,000 to $120,000. The first 120 donors who contribute or pledge $1,200 or more by June 30 will receive a limited edition C|M|LAW 120 lapel pin, specially designed for this historic campaign. Please give here: Believe in C|M|LAW. Give Now. or send me an email with your pledge at: lee.fishernull@csuohio.nulledu. Your groundbreaking contribution will be the foundation of our campaign. It would mean a lot to us.
Have a great week.
My best,
Lee
For copies of past messages, please go to this link: Monday Morning Messages.