Manchester Chamber of Commerce – January 10, 2007 
J. Bonnie Newman
Interim President
University of New Hampshire
January 10, 2007
Manchester Chamber of Commerce
Manchester, NH
“Higher Education: the Engine of Economic Development
in a Global Economy”
Thank you for inviting me to spend some time with you today. It is a pleasure to be here to talk about higher education in the state and the University of New Hampshire.
And it is always a pleasure to spend time in Manchester. Having grown up just down the river in Lawrence, I have always considered the Queen City to be New Hampshire’s historic, cultural, and economic crossroad. In the 19th century, skilled workers in the mill yards of Manchester and in Lawrence fueled the region’s economic prosperity. That tradition continues in 2007. Many of you in this room are leaders of New Hampshire’s—and the world’s—best-known companies.
Through your efforts and ingenuity, you provide jobs for New Hampshire and products for consumption around the world. For many years, Manchester and this valley have been a quiet secret, but no more. Manchester’s reputation has been on the rise nationally and in 2005 earned its ranking among the top ten “Best Small Cities for Doing Business in America" (Inc. Magazine, 2005).
Here and across the United States, higher education, in close partnership with business and industry, has been a key contributor to overall economic growth, providing the innovative ideas and skilled workers that help to propel productivity. But, in today’s uncertain, yet brave new world, characterized by breathtaking advances in technology and a re-defined global business environment, it is clear that we must all do more to maintain our competitive edge.
One step toward doing so is to maintain the New Hampshire Advantage. I contend that this advantage is not simply our tax structure, but more fundamentally is our PEOPLE. As the interim president of the University, I am fortunate and privileged to be able to spend my days on campus with some 13,000 students – representing the creative genius of our future generation.
But there are clouds on the horizon. Recent reports indicate that New Hampshire’s population is growing more slowly than the national average and regionally, New England is actually losing population. At the same time, we are experiencing the simultaneous aging of our population and a shrinking pool of younger, educated workers to take their places.
If we are to continue to enjoy our economic edge and our celebrated quality of life, we must stop the coming brain drain.
According to Thomas Friedman, Pulitzer Prize-winning author of The World is Flat, A Brief History of the Twenty-First Century, the most important development at the beginning of the new millennium is not the bombing of the World Trade Towers or the Iraq War. Rather, it is “the convergence of technology and events that allowed India, China, and so many other countries to become part of the global supply chain for services and manufacturing.” This has resulted in “an explosion of wealth in the middle classes of the world's two biggest nations, giving them a huge new stake in the success of globalization.”
For New Hampshire and the United States, this “flattening of the world” means that we must adapt in order to survive. The good news is that New Hampshire is very adept at this.
Despite its small size, New Hampshire has traditionally made smart use of its resources, nurtured capable future leaders, and educated its workforce. As a result, it has enjoyed a high level of success. Nationally, New Hampshire ranks sixth in per capita income; enjoys the lowest poverty rate; has one of the 10 lowest unemployment rates; and ranks ninth in employment concentration in high tech industries.
In the past quarter-century, we have benefited largely from the interplay of a robust in-migration of baby-boomers and a corresponding high level of educational attainment of our population. Rising productivity, especially in high technology products and services, new product development, professional and business services, and education and health services, has been our mainstay.
But, as we baby boomers retire and our workforce shrinks, who will fill the employment gap?
In New England, New Hampshire is showing the second greatest percentage decline in workers aged 25-34 (down 27.3 percent) behind Maine (29 percent)—while the national average decline is down by only 7.3 percent. As the cost of living rises in New Hampshire—seen most clearly in the rise in housing costs—and with public higher education costs well above the national average, the state begins to lose its appeal as a destination of choice.
To retain our workforce in the face of this exodus, to sustain our educational advantage and to keep New Hampshire and the U.S. economy strong, we must individually and together develop new strategies to meet these challenges. We must do all that we can to ensure that our children—our most precious resource—reach their full potential as citizens, contributors to the economy, and protectors of our national security. Our college graduates must be equipped to meet current and future business, governmental, and military needs by providing leadership and innovative solutions. Simply put, higher education keeps New Hampshire and the United States competitive and safe.
The University of New Hampshire is hard at work addressing many of these concerns through our world class academic and research programs of excellence. However, as the state’s flagship public university, we must constantly be vigilant and creative about keeping the rising cost of education at a level that allows the young people of this state access to an excellent education. We must raise significant private dollars to ensure that our programs of excellence continue and that new ones are enabled and created.
We must provide more scholarships for students, and replace or rebuild our old buildings. These commitments must be made—and kept—to sustain the future of higher education in New Hampshire and the nation.
Public higher education in this country faces considerable challenges as the goals of attracting higher caliber students and increased donor support become more and more competitive. As their overall quality increases, flagship universities in states across the country must keep the cost of attendance manageable. We must also maintain ever-higher national standards of excellence and providing curricular and co-curricular programs that fully educate their students. This national level of academic and research excellence, also garners more federal grants and increased private support. Further, public universities must fulfill their mission of teaching, research, and public outreach to benefit their wider communities. Let me cite some of the ways that the University of New Hampshire meets this charge.
We engage our faculty through teaching, research and outreach throughout the Granite State. Their research and expertise inform public policy and contribute to a better quality of life. They do the same for the economy, education and health care.
The University’s Whittemore School of Business and Economics has earned distinction for its entrepreneurial spirit and programs that put our students and your businesses together for maximum benefit. I hope that you have had the opportunity to get to know UNH students through one of these signature programs.
In addition to our many study abroad opportunities, we are expanding our curriculum internationally to meet the challenges of the world marketplace. Last fall we launched our first degree program outside of the United States, offering a Master of Science in Management of Technology to students in South Korea. The program creates vital links for faculty collaboration with international partners and new international opportunities for our students.
A new partnership between the University’s Advising Career Center and the New Hampshire Business and Industry Association matches students with internships and job opportunities in corporate and non-profit organizations. Last year, UNH hosted 220 companies and organizations at four career fairs with nearly 1,500 students attending. And currently, nearly 400 UNH students are engaged as interns across the region.
We are collaborating with the New Hampshire legislature and industry to bring funding and high-tech businesses to the area, and to help those already here to flourish. Ideas are the new currency in a knowledge-based economy. If we can be more efficient in harnessing the research at the beginning of the production cycle—where ideas begin—we can leverage our small size and scarce resources to compete with larger states and nations. Our work with the National Science Foundation’s Experimental Program to Stimulate Competitive Research (EPSCoR), and the New Hampshire Industrial Research Center (IRC) is evidence of the promise and potential of joint business and education efforts.
We are protecting the increasingly critical “P – 12” education pipeline. Our research through the Leitzel Center seeks ways to engage young students in mathematics and the sciences and works with New Hampshire’s schools to implement new findings. We cannot keep up with our global competitors without a solid educational base in these critical areas. You have heard of Governor Lynch’s goal to raise the high school drop out age to 18. Toward that end, UNH Professor Michael Middleton centers his research on motivating middle school students and keeping them engaged as confident learners. And here in Manchester, Professor Middleton is known for his work with the teacher education program. Also, at UNH Manchester, we recently hosted 350 young women from the region’s high schools in the Women in Science and Technology program and partnered with the Manchester School Department to assist Central High School students in their exploration of college.
But, what more can we do to sustain New Hampshire’s economy? A big challenge is to create more jobs of substance in New Hampshire so that our college graduates will be motivated to settle here. We will need to find ways to make housing more affordable and to keep the cost of living manageable for those who are just entering the workforce. We must continue to develop amenities and attractions in Manchester so that it continues to grow as a vibrant urban center and as a haven for a younger workforce.
We must continue our efforts to make higher education competitive in price, programming, and facilities. We have top-tier expectations and with the proper support, we will see top quality results. We continue to expose our students to entrepreneurship, globalization, technology and business, citizenship, and corporate social responsibility so that they are qualified in all of the ways that are valued by New Hampshire and around the world.
We want our students to think globally and we want them to live locally. As educated citizens in the 21st century, they must be able to do both, and by doing so, they sustain New Hampshire’s growth. If higher education is to continue in its central role as a driving force in the global economy, it requires continued support. A UNH education yields tremendous dividends—for our students, our state, and our world. Providing the nation’s young people with the education they need to excel in today’s global economy is expensive, it’s a challenge, and yes, it is essential.
Thank you.