government at the city, state <strong>and</strong> federal levels, reaching not only professional staff butelected officials as well. Sponsored by the country’s Federal Senate, with support froma loan from the Inter-American Development Bank, the programme reaches learnersthroughout the 26 states <strong>and</strong> the capital district, as well as in 2700 city-governmentoffices where Internet <strong>and</strong> videoconferencing facilities are in place. The courses, withoutany charge for learners or local governments, regularly deal with such subjects as PublicBudgeting, The Law of Fiscal Responsibility, <strong>and</strong> The Role of the City Councilman. Asa by-product of the <strong>education</strong>al programme, there has arisen a “virtual community ofthe legislative branch,” which, it is expected, will facilitate the exchange of ideas <strong>and</strong>experiences among those involved, <strong>and</strong> will, in the long run, create a more transparent<strong>and</strong> dynamic governing process in the country.It can be seen, from the Latin American experience, that innovations in funding can rangefrom straight governmental investment in non-traditional approaches to programmesdisguised as research grants, <strong>and</strong> from “cottage-industries” maintained by individualeducators or groups of educators, to self-supporting activities maintained entirely bystudent fees.POLICY CONSIDERATIONSVarious strategies for the funding of <strong>distance</strong> <strong>higher</strong> <strong>education</strong> exist, including publicprovision, private not-for-profit provision, <strong>and</strong> private for-profit provision. (A furthersource of funding comes from aid agencies – although this raises questions around thelong-term commitment of donors to sustain funding.) Public provision does not rule outcost-sharing in which students are asked to pay fees. These fees may cover a significantor a relatively small proportion of the total cost of the system. From the point of view ofthe student, the possibilities are:• Free provision (all costs subsidised by the state)• Heavily subsidised provision, but with students making some contribution towardstotal costs• Heavy bias towards cost sharing in which students meet a significant proportion ofthe costs through fees, but in which there is some subsidy from state sources• Full cost recovery through student fees• Market price provision (full cost recovery plus profit)Students may not have to meet the costs of fees themselves. Many people feel that itis reasonable for employers to fund vocational <strong>education</strong> <strong>and</strong> training courses, <strong>and</strong> toprovide the in-house facilities required to enable employees to learn. Having said that,this is not always the case, particularly where small- <strong>and</strong> medium-sised enterprises areconcerned, which is why government often steps into the vacuum (Rumble <strong>and</strong> Moran,2004: 206).Whatever the option, the level of subsidies <strong>and</strong> fees will (except in the case of purelymarket-driven prices) have some bearing on costs. The total cost of these <strong>distance</strong>- <strong>and</strong>e-<strong>learning</strong> systems depends upon a range of factors including the number of students,the sise of the curriculum, the choice of technology, the extent of use of pre-existingmaterials, the level of reuse of materials once developed, the level of service offeredstudents, the organisation of work, employment practices, etc. These factors also impacton average student costs <strong>and</strong> hence on the per capita level of subsidy <strong>and</strong> the level offees.45
How a system is funded depends in part upon the objects of the system <strong>and</strong> in particularthe level of discretionary income available to the target group (i.e. the amount ofmoney they can afford to spend on <strong>education</strong>) <strong>and</strong> the extent to which there is an accessdimension to the project. Projects aimed at ameliorating previous socio-economic <strong>and</strong><strong>education</strong>al disadvantage will on the whole depend upon significant subsidy.Even here, however, there may, as in all cases, be room for subsequent cost recoverythrough loan repayment mechanisms.Policy options in this area, therefore, need to consider:• The aims of the system• The nature of the target group <strong>and</strong> their ability to pay (whether immediately or on adeferred repayment basis) <strong>and</strong> to have access to the technology most appropriate tothe nature of the course (rented, borrowed or purchased equipment; reliable access toa neighbour’s or community-based equipment)• Costs in relation to the ability of sources to fund a project• The results of studies showing that that tutors could well spend twice as much timetutoring students online as they do face-to-faceIn respect of the cost structure of the system, it is recommended as a general policy:• Shift costs from committed to flexible cost categories, as a way of dealing with atight budget; for example, emphasise the contracting of part-time (as opposed to fulltime)workers in the production of material, student support <strong>and</strong> grading.• Minimise indirect common costs by close monitoring of the real use of suchexpenses.• Minimise committed costs by avoiding any exaggeration in the initial planning ofstaff, space <strong>and</strong> technology.• Cover flexible costs by student fees, always initiating as frugally as possible, <strong>and</strong>then extending services as income permits.In respect of fees, it is recommended as a general policy:• Accept that start-up costs are unlikely to be recouped quickly, <strong>and</strong> have as a policythe recovery of investment over an extended time.• Ensure that students pay something towards the cost of their courses, however little(students tend to be better motivated if they have made some financial contributiontowards their studies).• Ask students to fund the costs of their “home study environment”, includingthe technology they need to access courses. (However, this may not always bereasonable, in which case some provision may need to be made to enable students toaccess courses.)• Be cautious in implanting an increasingly incremented fee-structure for “extraservices”based on the student´s ability to pay, for it may cause those students ofmodest means to have a diminished <strong>learning</strong> experience.46
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PERSPECTIVES ONDISTANCE EDUCATIONLi
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Educational Planning has been respo
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A system of weighting of the key qu
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RELEVANT INTERNET SITESHigher Educa
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CHAPTER 9THE FINNISH VIRTUAL UNIVER
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foreign providers. In Finland, the
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to make the best use of new educati
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The foremost task for the Service U
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part of quality management. The aim
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online courses; an educational tech
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polytechnics, research institutions
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CHAPTER 10PROMOTING CROSS-BORDERREC
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The Bologna Declaration was followe
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indicators currently being used for
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the qualification resulting from th
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Table 9.1: Outline of the portfolio
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• Make sure that incoming student
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CHAPTER 11CHARTING THE EVOLUTIONOF
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Another common characteristic was t
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the current capacity of the educati
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conditions for success. Conditions
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Cultural and ethical issues in inte
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the cost and maintenance of learnin
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Research can be a useful tool for c
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REFERENCESBates, A. (1995). Technol
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Twigg, C. (2001). Quality Assurance
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y, for example, entering into partn
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and even greater steps, and the dec