Sign up for our daily briefing

Make your busy days simpler with Axios AM/PM. Catch up on what's new and why it matters in just 5 minutes.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Catch up on the day's biggest business stories

Subscribe to Axios Closer for insights into the day’s business news and trends and why they matter

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Stay on top of the latest market trends

Subscribe to Axios Markets for the latest market trends and economic insights. Sign up for free.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Sports news worthy of your time

Binge on the stats and stories that drive the sports world with Axios Sports. Sign up for free.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Tech news worthy of your time

Get our smart take on technology from the Valley and D.C. with Axios Login. Sign up for free.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Get the inside stories

Get an insider's guide to the new White House with Axios Sneak Peek. Sign up for free.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Catch up on coronavirus stories and special reports, curated by Mike Allen everyday

Catch up on coronavirus stories and special reports, curated by Mike Allen everyday

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Denver news?

Get a daily digest of the most important stories affecting your hometown with Axios Denver

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Des Moines news?

Get a daily digest of the most important stories affecting your hometown with Axios Des Moines

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Twin Cities news?

Get a daily digest of the most important stories affecting your hometown with Axios Twin Cities

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Tampa Bay news?

Get a daily digest of the most important stories affecting your hometown with Axios Tampa Bay

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Charlotte news?

Get a daily digest of the most important stories affecting your hometown with Axios Charlotte

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Illustration: Lazaro Gamio / Axios

U.S. graduate business schools — once magnets for American and international students seeking a certain route to a high income — are in an existential crisis. They are losing droves of students who are balking at sky-high tuition and, in the case of international applicants, turned off by President Trump's politics.

Why it matters: The once-venerated MBA is going the way of the diminished law degree, pushed aside by tech education. Graduates of the top 25 or so MBA schools still command the elite Wall Street and corporate jobs they always did, but the hundreds of others are scrambling, and some schools are shutting down their programs. Survivors are often offering new touchy-feely degrees like "master of social innovation."

The background: Most top-ranked U.S. business schools are doing just fine. Sixteen of the top 25 reported a jump in MBA program applications for the 2016-2017 academic year, and four schools — Yale, Columbia, Carnegie Melon, and the University of Chicago — saw double-digit leaps, per Poets & Quants, a website that covers graduate business education.

The problem: In the more than 350 programs that didn't make the top ranks, rising tuition costs and smaller returns in the form of employment and income have forced a rethink of the traditional MBA degree.

  • Campus recruiting at lower-ranked schools is down: In a survey by MBA Career Services, the 30 schools ranked 21 to 50 reported a 42% decrease in recruiting by companies in 2016. In 2015, this same group reported an 83% recruiting increase.
  • The value of an MBA is uncertain: MBA grads are facing shifting expectations from employers with more options than ever. "Especially for someone who might be 25 or 30, they're leaving with an MBA, and there's a question from employers, 'Well, you've got an MBA, but what else can you do for me?'" said Michael Prebil of the think tank New America.
  • Programs are shutting down: Wake Forest, the University of Iowa, Virginia Tech and other schools have all recently discontinued their full-time MBA programs.

A big problem is declining international interest: The enrollment at some mid-tier MBA programs is more than half international students. But 51% of B schools report a decline in international enrollment in fall 2016, a 13% jump from 2015, according to the MBA Career Services survey.

This is across the board: International enrollment at some top 25 schools is down, per Poets & Quants. For example, 32% of Georgetown's B school applicant pool was international in the 2016-2017 academic year, compared with 43% the year before. The trend is even more pronounced in the lower-ranked schools.

Trump administration's immigration policies are one reason. According to a GMAC survey conducted in February, 67% of prospective international MBAers would rethink their eventual study destination if they thought they'd be unable to obtain a work visa following the completion of their degree.

  • This is especially so for the best candidates. More than half of international applicants who scored over 700 (out of a possible 800) on the standard GMAT test said they were less likely to study in the U.S. than elsewhere because of their view of the Trump administration.
  • Who wins: While only 32% of U.S. business schools reported an increase in international applicants last year, 76% of Canadian schools and 67% of European schools saw a jump last year.

Graduate education is a global market: "The return on investment calculation for the international student is even more amplified for many of them, coming from markets that are more price sensitive," Scott DeRue, dean of the business school at the University of Michigan, tells Axios. "And then you layer onto that some of the uncertainties around the job market, the visa issues, and things of that sort that are well covered in the media, and I think that adds to the anxieties that international students will and could have."

Editor's Note: Sign up for Axios newsletters to get our smart brevity delivered to your inbox every morning.

Go deeper

Scoop: Biden eyes Russia adviser criticized as soft on Kremlin

Photo: Alexander Shcherbak\TASS via Getty Images

President Biden is considering appointing Matthew Rojansky, head of the Wilson Center's Kennan Institute, as Russia director on the National Security Council, according to a source familiar with the situation.

Why it matters: Rojansky has been praised for his scholarship on Russia and is frequently cited in U.S. media for his expert commentary. But his work has drawn criticism — including in a 2018 open letter from Ukrainian alumni of Kennan that blasted the think tank he runs as an "unwitting tool of Russia’s political interference."

Updated 2 hours ago - Politics & Policy

Coronavirus dashboard

Illustration: Annelise Capossela/Axios

  1. Health: Coronavirus cases hold steady at 65,000 per day — CDC declares racism "a serious public health threat" — WHO official: Brazil is dealing with "raging inferno" of a COVID outbreak.
  2. Vaccines: America may be close to hitting a vaccine wall — Pfizer asks FDA to expand COVID vaccine authorization to adolescents — CDC says Johnson & Johnson vaccine supply will drop 80% next week.
  3. Economy: Treasury says over 156 million stimulus payments sent out since March — More government spending expected as IMF projects 6% global GDP growth.
  4. Politics: Supreme Court ends California's coronavirus restrictions on home religious meetings.
  5. World: Iran tightens COVID restrictions amid fourth wave of pandemic.
  6. Variant tracker: Where different strains are spreading.

Maryland lawmakers override Hogan vetoes of police accountability legislation

Marion Gray Hopkins with Coalition of Concerned Mothers speaks during a rally promoting police reform on March 4 in Annapolis, Maryland. Photo: Bonnie Jo Mount/The Washington Post via Getty Images

Maryland's Democratic-controlled legislature on Saturday voted to override Republican Gov. Larry Hogan's vetoes of police accountability legislation.

Why it matters: Maryland is the first state to repeal its Law Enforcement Officers Bill of Rights, the Washington Post notes.