Northeast Ohio draws an exceptional class of international students, according to a Brookings study. The economic impact would be greater if more stayed and put their degrees to work here.
Cleveland and Akron attract a small but exceptional class of international students, often-serious scholars who pursue degrees in job-creating fields, according to a new study by the Brookings Institution.
The report's lead author says Northeast Ohio could probably do more to tap the talent infusion, using it to fill skill gaps and to make connections in the global economy.
Foreign students bring more than tuition, Neil Ruiz argues. They are increasingly a critical piece of economic expansion.
"They're coming from fast-growing, emerging cities abroad to Cleveland," said Ruiz, a senior policy analyst for the Washington, D.C.-based think tank. "And they're studying business and STEM (Science, Technology, Engineering and Math)."
Many are destined to become leading business people and scientists, either in America or back home, Ruiz said. Either way, he argues, they are good friends to have.
Ruiz is the lead author of The Geography of Foreign Students in U.S. Higher Education: Origin and Destination. The first-of- its-kind study, released Friday, examines the economic impact of foreign students on 118 metro areas where they number more than 1,500.
While making up only about 3 percent of the national student body, international students spent about $35 billion on tuition and living expenses from 2008 to 2012, the study found.
Foreign students make a smaller spending splash in Northeast Ohio in comparison to many other cities, but they have become a noticeable source of imported wealth. According to the study:
- The Akron metro area--which includes Kent--hosted 4,753 people on student visas from 2008 to 2012. They contributed $121 million to the local economy.
- Metro Akron ranked 62nd nationally for foreign student "intensity," with about 21 foreign students for every 1,000 college students.
- The Cleveland-Elyria-Mentor metro was home to about 5,477 people on student visas during the study period. They contributed about $195 million to the local economy.
- On foreign student intensity, Cleveland ranks near the bottom, 94th, with 14 foreign students for very 1,000 college students.
While the cash contribution is significant, Ruiz is more intrigued by the economic ripples, especially the ability of foreign students to create business opportunities. He suspects that could be especially powerful in Northeast Ohio.
Sixty-five percent of Cleveland's international students are pursuing master's or doctorate degrees, a rate higher than the national average. Most of those advanced degrees are in business, engineering and biomedical sciences.
Akron's class, while not as stellar, also outshines the national average. About 56 percent of Akron's foreign students are pursuing advanced degrees, most often in business, science and technology.
These are skills many employers say they need to compete and expand in the new economy, Ruiz notes. And that's why the next set of numbers is troubling.
Instead of putting their skills to work in Northeast Ohio, most international students take their degrees elsewhere. The study found that:
- About 40 percent of Cleveland's international students stay on after graduation to work in the area, a retention rate that ranks 37th nationally. (Nationally, an average 45 percent stay and work in the area).
- In metro Akron, only about 22 percent of foreign students find local employment after graduation, a retention rate that ranks 90th nationally.
That's opportunity knocking and no one answering, Ruiz said.
"Cleveland can do a better job helping matching the foreign students with local employers who need their skills," he concludes.
Ruiz suspects many local employers are reluctant to hire workers on visas or are unsure of how to do it.
Local immigration lawyers say they see that hesitancy often.
Richard Herman, the founder of Herman Legal Group and an advocate for diversifying Rust Belt economies with international talent, says even the region's major employers are often unaware of the ease with which they can hire foreign students.
What's needed is smarter and broader inclusion efforts, Herman said.
"Particularly in cities that are not diverse, companies and their HR staffs are not looking at international talent," he said. "This has to come from the top."
The community has a role to play as well. Ruiz argues it's worth winning the allegiance of foreign students whether they stay or go. His study cites examples of cities and companies that expanded their presence abroad using former students as the bridge.
"They're coming from Beijing and Riyadh (Saudi Arabia) and Hyderabad (India). When they land in Cleveland, that's their new home away from home," he said. "They'll become part of a network in Cleveland."
When they go back, they join another network, this one spanning two worlds.
Robert L. Smith covers economic development and the innovation economy for The Plain Dealer. Follow him on Twitter @rlsmithpd.