The Effects of September 11th and the War on Terrorism
On International Student Enrollment in the United States
Advanced Managerial Economics
MBAX 5330
February 26, 2006
The effects of September 11th and the war on terrorism on international student enrollment
in the United States
Background
After the events of 9/11, accessibility to U.S. higher education by foreign students was
heavily scrutinized. It was believed, in the months following 9/11 that many of the 19 hijackers
came to the United States under student visas to study in American colleges and universities.
Subsequently, the Patriot Act, signed just weeks after 9/11, built in greater oversight of the
enrollment process by the INS and created a lengthier and more in-depth process for which
students must navigate to gain access to the U.S. To some, the events of 9/11 and the ongoing
war on terrorism have also called in to question the benefit of having international students in our
colleges and universities in times when national security issues are so great. We’ll examine
these issues and make recommendations on how key stakeholders can move forward.
The Value of International Students
In congressional testimony following 9/11, then-Secretary of State Colin Powell stated
that “international students enrich our communities with their academic abilities and cultural
diversity, and they return home with an increased understanding and often a lasting affection for
the United States. I can think of no more valuable asset to our country than the friendship of
future world leaders who have been educated here.” (Urias & Yeakey 191)
Experts in the field of international education concur with Colin Powel, citing many
economic, political, and societal benefits to having international students educated in the United
States.
Economic Value
Allan E. Goodman, President and CEO of the Institute of International Education told the
Senate Foreign Relations Committee at a hearing in October, 2004 that “international students
make important financial contributions to their host institution and to the local communities in
which they live during their stay. Each year, students from abroad bring some $12 billion into
the U.S. economy, making educational exchange one of the leading American service export
industries, according to the U.S. Department of Commerce (Goodman 5).” Very interesting! The
National Association of Foreign Student Advisors, or NAFSA, estimates that contribution to the
U.S. economy during the 2004-2005 academic year to be $13.29 billion (NAFSA 1).
Political and Diplomatic Value
Equally important, are the political and diplomatic benefits of educating foreign students
in the United States. The superiority of the American higher education system has traditionally
drawn top scholars and thinkers from across the globe. The opportunity to host these students
provides an opportunity to give them an appreciation for American culture and a better
understanding of our ways of doing business, governmental policies, etc. In theory, these
students pass this appreciation along, giving us an advantage when we work with them, their
businesses, and their governments.
Goodman states that “educational exchange programs are the best investment that
America can make in reducing misunderstanding of our culture, our people and our policies. An
educational experience in America pays dividends to our nation’s public diplomacy over many
years.” He goes on to mention in his testimony that more than 50 of the world leaders called by
President Bush and Secretary Powell to join the coalition fighting terrorism studied in the United
States or came to America early in their careers as part of the International Visitor Program
(Goodman 4).
Educational and Societal Value
Educators site benefits in the classroom as well. “With foreign students in your class,
you teach differently – and better” states Goodman. Foreign students are able to share their
global perspectives with American classmates, who may not have other opportunities to
experience these cultures and perspectives. This is so true. “Academic dialog with foreign
students on U.S. campuses may well be their only training opportunity before entering careers
which will almost certainly be global (Goodman 5).”
At the graduate level, foreign students often provide the necessary pool of teaching
assistants needed to serve American undergraduate students, and to support faculty teaching and
research at the leading U.S. universities.
Education in the U.S. is a benefit to all societies and economies in the world. Twenty
nine alumni of the Fulbright Program, as well as 19 other grantees and trustees of the Institute of
International Education have won Nobel Prizes (Goodman 7).
Short-Term Results of 9/11 on International Student Enrollment
In the months following 9/11, the United States government reacted swiftly to address the
perceived national security issue related to international students. Former Attorney General John
Ashcroft acknowledged that the FBI, INS, and local law enforcement authorities couldn’t find
more than 1,000 students from Arab and Muslim countries (Urias & Yeakey 188).
As a result of the chaos, the Patriot Act, passed in October 2001, required the INS to fully
implement a new electronic tracking system to manage the student visa process and monitor the
in and outflow of international students in the U.S. The program, named SEVIS (Student
Exchange Visitor Information System) was created. Congress provided $38.8 million to fully
fund the SEVIS implementation, which was required to be fully implemented by January 1,
2003. Additional requirements regarding reporting of international student information was
required by the Enhanced Border Security and Visa Entry Reform Act of 2001 (Urias & Yeakey
189).
In their effort to address the perceived threat quickly, the government created a
perception that the U.S. was making it more difficult for students to study here, particularly for
students from the Middle East. Critics say that this message is reinforced in the student visa
process. Critics say SEVIS is too cumbersome, confusing, requires significant resources (time,
staffing), and causes significant delays for students and colleges.
Statistics suggest that perceptions that U.S. education is less accessible and troubles
related to SEVIS processing have taken their toll on international student enrollment since 2001.
International Enrollment at U.S. Colleges and Universities
Academic
Year
Total
Enrollment
97 – 98
481,280
98 – 99
490,933
99 – 00
514,723
00 – 01
547,867
01 – 02
582,996
02 – 03
586,323
03 – 04
572,509
04 – 05
565,039
Source: Open Doors Report, 2005
% Change
5.10%
2.00%
4.50%
6.40%
6.40%
0.60%
-2.40%
-1.30%
Graduate enrollment has been particularly hard hit by the 9/11 aftermath. Graduate
student enrollment fell nearly 8 percent in 2002, 10 percent in 2003, and 3 percent in 2004. In
2005, graduate enrollment finally showed signs of life, with a 1 percent increase (Pope, par. 2).
As mentioned above, international student enrollment at a graduate level is critical to the health
of? higher education in America, particularly in science, math and engineering fields.
Unfortunately policies related to the Patriot Act have increased the level of scrutiny for students
wanting to study in scientific fields (Urias & Yeakey 191).
Good News
Educators say the State and Homeland Security departments have streamlined visa
approvals, and many universities have stepped up recruiting, which has at least leveled off the
decline at this time (Pope, par. 7).
Worldwide Competition
The decline in international student population in the United States isn’t only a result of
terror-related fallout. A study by Indiana University with NAFSA states “educational systems
are developing rapidly in many parts of the world, and worldwide competition for international
students has increased and become more aggressive (1).”
Conclusion and Recommendations
The economic, political and cultural impacts of foreign students pursuing higher
education in the United States are significant. It is imperative that the governmental agencies
and colleges and universities come together to ensure that the world knows that American higher
education is open for business and that improvements have been made to help them get here.
The following are recommendations to help guide these stakeholders as they brainstorm:

Fix the perception that U.S. education is not accessible through better communications
coming from government agencies, colleges and universities, and the media

Ensure that accurate information is being conveyed to the right audience (embassies,
educational agencies in foreign countries, media, etc.)

Be innovative and aggressive at university level to recruit foreign students. Be willing to
invest despite the uncertainty of world affairs.

Understand the significance of educating foreign students at the federal level

Find balance between homeland security and need to educate foreign students
Lee C. Bollinger, President, Columbia University put the issue in perspective, stating: “there
is a general perception that U.S. universities are at risk of losing a significant percentage of the
most talented students to other countries. If there is another attack, there definitely will be a drop
in enrollment in U.S. universities. To fight terrorism, I would invest in knowledge by helping
young people understand different parts of the world.” (World Economic Forum, par. 6)
WORKS CITED
Goodman, Allan E. “Addressing the New Reality of Current Visa Policy on International
Students and Researchers.” Statement for the Record, Senate Foreign Relations Committee.
October, 2004.
Indiana University, NAFSA & Committee on Institutional Cooperation. “In America's Interest:
Welcoming International Students-The Role of Higher Education” Conference Session White
Paper, 2005. <http://www.nafsa.org/_/Document/_/white_paper_from_the.pdf>
Institute of International Education. Open Doors Report, 2005.
<http://opendoors.iienetwork.org/>
National Association of Foreign Student Advisors. “The Economic Benefits of International
Education to the United States for the 2004 – 2005 Academic Year: A Statistical Analysis.”
<http://www.nafsa.org/about.sec/about_international_education/economic_impact_statements_2
005>
Pope, Justin. “Foreign Graduate Student Enrollment Appears to Have Stabilized – Terrorism.”
Boston.com. 7 November 2005.
<http://www.boston.com/news/nation/articles/2005/11/07/foreign_graduate_student_enrollment_
appears_to_have_stabilized/>
Urias, David A. & Yeakey, Carol Camp. “International Students and Border Security.” The NEA
Higher Education Journal. Fall 2005. <http://www2.nea.org/he/heta05/images/2005pg187.pdf>
World Economic Forum. “Do Counterterrorism Measures Stifle Economic Growth?”
<http://www.weforum.org/site/knowledgenavigator.nsf/Content/_S16143?open&event_id=1462
&year_id=2006>