Cost Sharing in Zambia’s Public Universities: Prospects and Challenges

Year 2013, Volume: 2 Issue: 1, 1 - 15, 15.01.2013

Gift Masaiti Hong Shen

https://doi.org/10.12973/eu-jer.2.1.1

Abstract

This research paper explores the concept of ‘cost sharing’ which became more prominent in Zambia edu- cation with the advent of democratic form of governance in 1991. As a way of responding to the ever diminishing tax revenues, government through the education policy of 1996, allowed higher education institutions including public universities to introduce cost sharing as way of improving financial vibran- cy, accountability and cost effectiveness. This paper therefore, uses students’ perceptions to examine the cost sharing policy which has now been existence for almost two decades. More specifically, it explores underlying factors which can make cost sharing more effective and sustainable. Recent studies show that the impact of the cost sharing has been modest, though still remains one viable and cost effective way of financing public universities. In exploring these prospects and challenges, a self administered question- naire based on convenient sampling was used to collect data from 729 respondents in Zambia’s three biggest public universities. Data was subjected to Analysis of Variance (ANOVA) and Exploratory Fac- tor Analyses. The findings revealed that the current cost sharing policy was appropriate but lacked the government support in its implementation. The study further highlighted the need for re-engineering the current policy by providing details on the implementation process. The study highly recommends that a true cost-sharing model be implemented in an effort towards making public universities more effective and sustainable.

Keywords

cost sharing, public universities, prospects, challenges, Zambia

References

• Acemoglu, D. & Angrist, J. (2001). How large are human capital externalities? Evidence from compulsory schooling laws. In B. Bernanke & K. Rogoff, (Eds.). NBER Macroeconomics Annual 2000 (pp. 9-59). Cambridge: MIT Press.
• Altbach, P.G & Levy, D.C. (2005) eds., Private Higher Education: A Global Revolution Chestnut Hill, MA: Center for International Higher Education and Rotterdam, the Netherlands: Sense Publishers.
• Altbach, P. G. (2006). What’s in a Name? For a Million Bucks or So, You Can Name That school. Academe, 92(1), 48-50.
• Altbach, P. G. (2009). The Centrality of the Academic Profession. International Higher Education, 55(Spring), 15-17.
• Atuahene, F. (2006). “A Policy Analysis of Financing of Tertiary Education Institutions in Ghana: An Assessment of the Objectives and the Impact of the Ghana Education Trust Fund” (PhD dissertation presented to the faculty of the College of Education of Ohio University). Retrieved rave.ohiolink.edu/etdc/view?acc_num=ohiou1160006095 on 30.10.2011.
• Baum, S. & Payea, K. (2004). Education pays 2004: The benefits of higher education for individuals and society. Retrieved January 20, 2010, from http://www.collegeboard.com/prod_downloads/press/cost04/EducationPays2004.pdf
• Barr, N. (2009) Financing higher education: lessons from economic theory and reform in England. Higher education in Europe, 34 (2), 201-309.
• Barr, N. (Janaury, 2008). “Markets in higher education: The good, the bad and the avoidably ugly”. Conference on the Operation of the Market in Higher Education: Opportunities and Constraints, Experience and Ideology: London.
• Barr, N. (2005). Financing Higher Education: Answers from the UK. London: Routledge Studies in Education.
• Barr, N. (2004). Higher Education Funding. Oxford Review of Economic Policy, 20(2): 264-283
• Belfield, C. R. and Henry M. L. (Eds.). (2003). The Economics of Higher Education. Cheltenham, UK and Northampton, MA: Edward Elgar Publishing Limited.
• Chaffee, E. E. (1998). Listening to the People we Serve. In W.G. Tierney (Ed), The Responsive University: Restructuring for High Performance (pp. 38-61). Baltimore: Johns Hopkins University Press.
• Gillies, J. (2010). The power of persistence: Education system reform and Aid Effectiveness. EQUIP 2: 99-111
• Johnstone D .B. (2009).Worldwide Trends in Financing Higher Education: A Conceptual Framework. Jane Knight: Sense Publishers.
• Johnstone, D. B. (2003). Income contingent loans and graduate taxes: Can they work in developing and transitional countries? Prepared for the International Forum of the Association for the Study of Higher Education (ASHE).
• http://www.gse.buffalo.edu/org/inthigheredfinance/publications.html
• Johnstone, D. B. (2002). Challenges of financial austerity: Imperatives and limitations of revenue diversification in higher education. The Welsh Journal of Education,11(1), 18-36.
• Kelly, M. J. (1991). Education in a Declining Economy. Washington D.C: World Bank.
• Levidow, L. (2001). Marketizing higher education: Neo-liberal strategies and counter strategies. Education and Social Justice, 3(2), 12-24
• Levin, J. S. (2006). Faculty work: Tensions between educational and economic values. The Journal of Higher Education, 77(1), 62-88.
• Lochner, L., Moretti, E. (2004). The effect of education on crime: Evidence from prison inmates, arrests, and self –reports. American Economic Review, 94, 155-189
• Mankiw, G.N. (2010). Macroecomics: 7th Ed: New York, Worthy Publishers.
• Masaiti, G. (2013).Students’ Perceptions of Financing Public Universities in Zambia: Towards a More Sustainable and Inclusive Policy Strategy. In D. Teffera, 'Funding Higher Education in Eastern and Southern Africa: Modalities, 'Challenges, Opportunities and Prospects'. OSSREA/ Boston College: Palgrave Macmillan (Already Accepted).
• McNernery, F.(2009). “Policy Options to Finance Public Higher Education in Afghanistan” PhD Dissertation submitted to University of Massachusetts Amherst: Retrieved on 15.10. 2012 from [e-mail]
• Ministry of Education (MOE). (1996). Educating Our Future: National Policy on Education. Lusaka: Zambia Education publishing house.
• Ministry of Education (MOE). (2010). Strategic Plan. Lusaka: Headquarters.
• Shen, H. and Ziderman. A. (2007). Student Loans Repayment and Recovery: International Comparisons. IZA Discussion Paper No. 3588. Bonn Germany: Institute for the Study of Labor (IZA).
• SARUA. (2012). Financing Higher Education in Southern Africa: A guide to Public Universities-Zambia: Retrieved on 20th October, 2012 from http://www.sarua.org/files/Handbook/SARUA%20Handbook_Zambia.pdf
• Saunders. B. (2009). Neoliberal Ideology and Public Higher Education. Journal of critical education & policy study, 8(1), 42-77.
• Wellen, R. (2005). The University Student in a Reflexive Society: Consequences of Consumerism and Competition. Higher Education Perspectives, 2(1), 24-36.
• Woodhall, M. (2007). Funding higher education: The contribution of economic thinking to debate and policy development. Washington: World Bank.
• World Bank. (2010). Financing Higher Education in Africa. Washington DC: World Bank.
• World Bank. (2008). The Road not traveled: Education reform in the Middle East and North Africa. MENA Development Report. Washington D.C.: World Bank.
• World Bank. (1994). Higher education: The lessons of experience. Washington, D.C.: World Bank.