Knowledge and Power in Global Economy

1

IS THE PROMISE OF EDUCATION A GOOD SHOPPING EXPERIENCE?

GLOBAL SUPERCLASS ≐6,000

BUY A BRAND NAME EDUCATION

EDUCATE FOR WORK IN THE GLOBAL ECONOMY

2

GLOBAL EDUCATION

AL INFLUENCE

S

NATIONAL SCHOOL SYSTEMS

WORLD BANK

UNITED NATIONS

OECDINTERNETEDUCATIO

N BUSINESSPUBLISHIN

G & TESTING

FOR-PROFIT

SCHOOLSSOFTWAR

E

GLOBAL PROFESSI

ONAL ORGANIZA

TIONS

NGOS HUMAN RIGHTS

ENVIRONMENTAL

WORLD SCHOOL SYSTEMS

GLOBAL ORGANIZATIONSGLOBAL

NETWORKTECHNIUM

ICT

4

DAVID ROTHKOPF IN SUPERCLASS: THE GLOBAL POWER ELITE AND THE WORLD THEY ARE MAKING. ROTHKOPF ESTIMATES THAT ABOUT 6,000 PEOPLE BELONG TO THE GLOBAL SUPERCLASS--ALL THE WORLD’S BILLIONAIRES, HEADS FOR MAJOR GLOBAL CORPORATIONS AND FINANCIAL COMPANIES, POLITICAL AND MILITARY LEADERS OF GLOBALLY INFLUENTIAL COUNTRIES AND MAJOR RELIGIOUS LEADERS.

[

GLOBAL SUPERCLASSBILL GATES WORLD’S RICHEST RICHEST WORLD FOUNDATION

5

MALE 93.7%MEDIAN AGE 58ALL OF THE WORLD’S

APPROXIMATELY 1,000 BILLIONAIRES

RESIDES (APPROXIMATE PERCENTAGE)

UNITED STATES 17%EUROPE 33%UNITED STATES, CHINA,

BRITAIN, INDIA, BRAZIL, RUSSIA, GERMANY, JAPAN, MEXICO, COMBINED 57%

ASIA AND PACIFIC REGION 33%

6,000+ INCLUDED IN THE SUPERCLASS

OccupationBusiness 50%Finance 13%Government 18%Military 7%Religious 4%Other 2%EducationAttended Top 20 Elite

Universities 30%Postgraduate Degree 47%Undergraduate Degree

91%No High School Diploma

2%

6

GLOBAL SUPERCLASS NETWORKS

7

Does a person have influence over a lot of people? Do they have significant financial resources relative to their peers? Are they powerful in multiple spheres? Do they actively wield their power?

FORBES LIST OF WORLD’S MOST POWERFUL

MORE TECHNOLOGY IN EDUCATION: BILL GATES: "So far technology has hardly changed formal education at all. But a lot of people, including me, think this is the next place where the Internet will surprise people in how it can improve things — especially in combination with face-to-face learning. With the escalating costs of education, an advance here would be very timely.” 8

WHAT DOES GLOBAL SUPERCLASS WANT FOR EDUCATION?

WORLD ECONOMIC FORUM: HOW CAN EDUCATIONAL SYSTEMS BECOME MORE ALIGNED WITH THE SKILLS REQUIRED BY INDUSTRY?

KEY POINTSTHE PRIVATE SECTOR NEEDS TO PARTNER WITH THE

PUBLIC SECTOR IN CURRICULUM DEVELOPMENT.CREATING CLASSES OF ENTREPRENEURS WILL

ULTIMATELY HELP STUDENTS GO FROM BEING EMPLOYEES TO EMPLOYERS.

SOFT SKILLS ARE REQUIRED MORE THAN HARD SKILLS FOR STUDENTS TO MAKE RELEVANT EMPLOYEES.

GREATER COMPETITION AMONG UNIVERSITIES WILL ENSURE THAT THEY PROVIDE BETTER SERVICES.

9

WHAT DOES GLOBAL SUPERCLASS WANT FOR

EDUCATION?

BOAO FORUM: “PROMOTING EDUCATION IS THE MOST IMPORTANT PUMP PRIMING TASK FOR THE E11 IN ORDER TO BRING OUT THEIR LATE-MOVER ADVANTAGE AND ACCELERATE ECONOMIC DEVELOPMENT . . .BECAUSE IT IS THE BASIS FOR PROVIDING MORE SPECIALIZED AND HIGH-CALIBER PROFESSIONALS AND GUARANTEEING COMPETITIVENESS OF THE E11.”

10

WHAT DOES GLOBAL SUPERCLASS WANT FOR EDUCATION?

11

WHAT DOES GLOBAL SUPERCLASS WANT FOR EDUCATION?

CHINESE PRESIDENT HU JINTAO URGED THE COMMUNIST PARTY OF CHINA AND THE WHOLE COUNTRY TO GIVE PRIORITY TO EDUCATION IN THEIR WORK, IN ORDER TO BUILD A MODERATELY PROSPEROUS SOCIETY, PUSH FORWARD SOCIALIST MODERNIZATION, AND ACHIEVE THE GREAT REJUVENATION OF THE CHINESE NATION.

President Obama: "America will not remain true to its highest ideals -- and America's place as a global economic leader will be put at risk . . . if we don't do a far better job than we've been doing of educating our sons and daughters”

WHAT DOES GLOBAL SUPERCLASS WANT FOR EDUCATION?

AS THE WORLD ECONOMY BEGINS TO RECOVER FROM ONE OF THE

WORST ECONOMIC CRISES IN DECADES, INFORMATION AND

COMMUNICATION TECHNOLOGIES (ICT) IS BOUND TO PLAY AN

INCREASINGLY PROMINENT ROLE AS A KEY ENABLER OF

RENEWED AND SUSTAINABLE GROWTH, GIVEN THAT IT HAS

BECOME AN ESSENTIAL ELEMENT OF THE INFRASTRUCTURE

UNDERPINNING COMPETITIVE ECONOMIES. ICT WILL CONTINUE

SPREADING ITS REVOLUTIONARY POWER TO MODERNIZE

ECONOMIES AND SOCIETIES AND IMPROVE LIVING CONDITIONS

AND OPPORTUNITIES AROUND THE WORLD 13

GLOBAL SUPERCLASS AND INFORMATION AND COMMUNICATION TECHNOLOGY (ICT)

World Bank2010 World Bank:World’s largest external education financier to the developing world In previous five years, the Bank averaged about $2 billion per year in loans, credits, and grants to support education.

WORLD BANKCONSTRUCTING KNOWLEDGE SOCIETIES

The ability of a society to produce, select, adapt, commercialize, and use knowledge is critical for sustained economic growth and improved living standards. Knowledge has become the most important factor in economic development.

1. Membership: 31-richest nations of the world

OECD-ORGANIZATION FOR ECONOMIC COOPERATION AND DEVELOPMENT

OECD HUMAN CAPITAL

2007 UNESCO Ministerial Round Table on Education and Economic Development OECD Secretary-General Angel Gurría

First, education builds human capital and enables workers to be more productive. Second, education increases countries' capacity to innovate - an indispensable prerequisite for growth and competitiveness in today's global knowledge economy.

PISA (Program for International Assessment Student Assessment)

OECDGlobal Academic Olympics

PIRLS (Progress in International Reading Literacy)

TIMSS (Trends in International Mathematics and Science Study)

OECDGlobal Academic Olympics

SUPPORT FOR HUMAN CAPITAL AND ICT EDUCATION TECHNOLOGY

HUMAN CAPITAL &

ICT

SHADOW EDUCATION INDUSTRY

CRAM SCHOOLS

TEST PUBLISHERS

PUBLISHING

INDUSTRY

FOR PROFIT

SCHOOLS

SOFTWARE AND

INFORMATION TECHNOLOGY

INDUSTRY

MULTINATIONAL CORPORATIONS

DEMAND: PROMISE OF WORK AND

HIGH INCOME

MANAGERIAL OR PERFORMANCE STATE 1. STATE RUN AS BUSINESS—PERFORMANCE

BASED2. TRANSFER OF SOME FUNCTIONS TO

PRIVATE SECTOR3. MEDIA

1. NEWS AS ENTERTAINMENT2. POLITICS AS PERFORMANCE ART3. TRUTHINESS-CONCEPTS AND FACTS

ONE WISHES TO BE TRUE4. SCHOOLS

1. HUMAN CAPITAL2. RUN AS BUSINESS-PERFORMANCE

BASED-BUSINESS LEADERS3. SOME FUNCTIONS TO PRIVATE SECTOR

JANINE WEDEL, SHADOW ELITE: HOW THE WORLD’S NEW POWER BROKERS UNDERMINE DEMOCRACY, GOVERNMENT, AND THE FREE MARKET (2009)

TRANSFORMATION OF POWER1.MANAGERIAL AND PERFORMANCE

STATE=PRIVATIZATION=UNREGULATED SHADOW INDUSTRY AND NETWORK

2. TRANSNATIONAL NETWORKS-FINANCIAL, DRUGS, EDUCATION, CORPORATIONS, INTERGOVERNMENTAL, ETC.

3. TECHNIUM-ICT-NETWORK BASED RELATIONSHIPS=MAKE SCHOOLING ONLINE ?

4. NETWORKS OF INFORMATION-SOCIAL COMMUNITIES

(TRUTHINESS-CONCEPTS AND FACTS ONE WISHES TO BE TRUE)

GLOBALIZED STATE TRANSNATIONAL NETWORKS

MANAGERIAL OR

PERFORMANCE STATE

SUPERCLASS +6000

TECHNIUM ICT & MEDIA

GLOBAL CORPORATIONS

INTERGOVERNMENTAL ORGANIZATIONS

GLOBAL ECONOMIC

ORGANIZATION-WORLD TRADE ORGANIZATION

REGIONAL ECONOMIC

GROUPS

INTELLECTUALS-

UNIVERSITIES, FOUNDATIONS GOVERNMENT PANELS, THINK

TANKS

RUPERT MURDOCH NEWS

CORP

WIRELESS GENERATION

JOEL KLEINCOUNSEL TO

BERTELSMANN A.G. MEDIA SERVICES

WORLDWIDECHANCELLOR NYC

SCHOOLS2002-2010

MICHAEL R. BLOOMBERG

BLOOMBERG L.P. FINANCIAL NEWS AND

INFORMATION SERVICES MEDIA

CATHIE BLACK: Chairman Hearst Magazines, 8 Years Building USA Today

NEW YORK CITY

PUBLIC SCHOOL

S

Achievement Reporting and Innovation System (ARIS) School of One initiative

PURCHASED 11/22/10

EXECUTIVE VICE PRESIDENT IN CEO OFFICE: 2010

MEDIA ELITE AND NETWORK

WORLD TRADE ORGANIZATION AND GENERAL AGREEMENT ON TRADE IN SERVICES (GATS): INCLUDES EDUCATION SERVICES

Global Education Businesses

SHADOW EDUCATION SYSTEMFOR-PROFIT TEST PREPARATION AND TUTORING

(CRAM SCHOOLS)

GLOBAL EDUCATION BUSINESSES

Pearson Education Vietnam Representative Office   29/9 Yen The Ward 2, Tan Binh DistrictHo Chi Minh City

2010 ranked #12 globally in a list of franchises which beginning with #1 in the list Subway followed by McDonald’s, 7-Eleven Inc., Hampton Inn, Supercuts, H&R Block, Dunkin’ Donuts, Jani-King, Servpro, ampm Mini Market and Jan-Pro Franchising Int’l Inc.

SHADOW EDUCATION INDUSTRYKUMON LEARNING CENTERS

FOR PROFIT SCHOOLSGlobal Education Businesses

GLOBAL EDUCATION BUSINESSESPUBLISHING

GLOBAL EDUCATION BUSINESSESTESTING

Vietnam Adopts the TOEIC® Test to Set an English-Language Proficiency Standard for Vocational Students

Education Industry Association

450 members include online education providers, school improvement and management services, charter school operators, alternative education and special education services, professional development providers, after-school tutoring providers, and educational content providers.

Education Industry Investment ForumEducation Industry Investment Forum --investment in the U.S. and International for-profit education industry. We have gathered together leading private equity investors, operational strategists in education, as well as entrepreneurs and experts from foundations

34

BRAIN MIGRATION FROM DEVELOPING COUNTRIES

Jan Sadlak, Director Of The UNESCO—European Center For Higher Education“COMPANIES, UNIVERSITIES, RESEARCH CENTERS, AND WHOLE COUNTRIES ARE IN PURSUIT OF AND TRYING TO ATTRACT THE BEST BRAINS.”

35

SHOPPING FOR BRAINS

36

RICH COUNTRIES & MULTINATIONAL CORPORATIONS SHOP FOR BRAINS

POOR COUNTRIE

SRICH

COUNTRIESBRAIN DRAIN

BRAIN LOSS

BRAIN GAIN

BRAIN WAST

E

WORLD BANK AT AMERICAN EDUCATIONAL RESEARCH ASSOCIATION 2010:

DEVELOPED COUNTRIES MUST WORRY ABOUT EDUCATION IN DEVELOPING NATIONS BECAUSE THEIR FUTURE WORKFORCES WILL COME FROM THERE.

FALLING BIRTH RATES: JAPAN, EUROPEAN UNION, UNITED STATES, KOREA

37

RICH COUNTRIES & MULTINATIONAL CORPORATIONS SHOP FOR BRAINS

WHAT THE SUPERCLASS AND SHADOW ELITE WANT:

1. MORE ICT AND ONLINE LEARING TO REDUCE EDUCATIONL COSTS

2. FOCUS EDUCATION ON NEEDS OF WORLD LABOR MARKET AND ECONOMIC GROWTH

3. GLOBAL MIGRATION OF EDUCATED TALENT

4. TECHNOLOGY TO SOLVE GLOBAL PROBLEMS

38

SUMMARY