Can Foreign Students Cut Cost of College Tuition?

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July 12 (Bloomberg) -- Peter Henry, Dean at NYU, discusses the cost of education in America. He speaks on Bloomberg Television’s “Bloomberg Surveillance.” (Source: Bloomberg)

What was the letter you open from a school?

I was fortunate.

I had scholarships throughout college.

Education is the great transformer.

It transformed my life.

It transformed my parents' lives and that's why everyone wants to go to college.

Want to go to college but when you and i went, it was a little bit cheaper and it is outrageous now.

I want to know the to do list for the fancy 250 schools like nyu.

What is the action plan for the kids entering the last week of august?

The number one long-term thing we have to do is continue to educate our population and in particular the people who believe in higher education, on the importance of making investments and higher education so we can defrayed a cost that students have for going to school.

That keeps all of us up at night at nyu.

And other institutions.

We have to find a way to educate the broader population.

There are underlying cost structures that have been driven by technology and a great demand to come to u.s. universities that driving up the cost for fundamental reasons.

What is driving this is the demand to go to nyu or cornell -- it is an emerging middle class and other countries.

It is about admitting foreign students back and pay the full ride every year.

That has been the university stopgap measure to make sure it they can keep getting the revenue without admitting students need financial aid to.

The mission of our university and for all schools of higher education is that you want to admit the best students.

Regardless of financial aid.

To do that, we have to continue to make a big push to invest in our youth.

John silver at boston into europe -- university invented this idea.

If you bring in foreigners to support the programs.

Are your schools too expensive now?

Is the issue that the schools have gotten so fancy with the derivatives things they are doing that the $45,000 tuition should stay there for five years?

No, the fundamental issue which is driving up the cost of higher education is supply and demand.

How do we deliver maximum value for the underlying cost?

You look at the u.s. unemployment rate, 3.9% of most college graduates.

How do you make it more affordable?

How do you convince our investors, said tuesday, the public, that they need to invest in higher education?

Back to the debates of the moment in washington -- what should they do with those loans?

Should they let them be cut in half?

It is complicated.

If you look at paring the loans with a 10-year treasury yield, you worry about the rates.

You have to be very careful and thoughtful and well not have an answer when students come back in the fall but we have to think carefully about the long-term implications of our actions today.

Peter and i, the dean of a and why you stern school of business.

This text has been automatically generated. It may not be 100% accurate.

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