U.S. Slips in Attracting the World's Best Students - NYTimes

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http://www.nytimes.com/2004/12/21/national/21global.html?hp&ex=1103691600&en=255cb6ba2a51c294&ei=5094&partner=homepage

American universities, which for half a century have attracted the world's best and brightest students with little effort, are suddenly facing intense competition as higher education undergoes rapid globalization.

The European Union, moving methodically to compete with American universities, is streamlining the continent's higher education system and offering American-style degree programs taught in English. Britain, Australia and New Zealand are aggressively recruiting foreign students, as are Asian centers like Taiwan and Hong Kong. And China, which has declared that transforming 100 universities into world-class research institutions is a national priority, is persuading top Chinese scholars to return home from American universities.

"What we're starting to see in terms of international students now having options outside the U.S. for high-quality education is just the tip of the iceberg," said David G. Payne, an executive director of the Educational Testing Service, which administers several tests taken by foreign students to gain admission to American universities. "Other countries are just starting to expand their capacity for offering graduate education. In the future, foreign students will have far greater opportunities."

Foreign students contribute $13 billion to the American economy annually. But this year brought clear signs that the United States' overwhelming dominance of international higher education may be ending. In July, Mr. Payne briefed the National Academy of Sciences on a sharp plunge in the number of students from India and China who had taken the most recent administration of the Graduate Record Exam, a requirement for applying to most graduate schools; it had dropped by half.