Ben S Bernanke: Remarks on historically black colleges and universities
Speech by Mr Ben S Bernanke, Chairman of the Board of Governors of the US Federal
Reserve System, at the 2008 National Historically Black Colleges and Universities Week
Conference, Washington DC, 9 September 2008.
* * *
Good morning. I am very pleased to join you at this conference. As an economist, but also as
a former professor, one-time school board member, spouse of a teacher, and parent of two
young adults pursuing higher education, I am always glad to have an opportunity to speak
about the importance of education to our nation's economy and our society. This morning I
am especially pleased to highlight the past and continuing importance of the nation's
historically black colleges and universities. Given my audience, I may be "preaching to the
choir," so to speak, on this topic, but I trust that you will appreciate the sermon.
Education is vital to our prosperity. It fundamentally supports advances in productivity, upon
which our ability to generate continuing improvement in our standard of living depends. As
our economy becomes more and more technologically advanced and globally
interconnected, the skills, knowledge, and analytical ability that education develops are
becoming ever more crucial to each individual's success. A substantial body of research
demonstrates that investments in education - higher education, certainly, but also lifelong
education, from preschool to mid-career training and adult education - pay high rates of
return both to individuals and to our society as a whole. Moreover, the benefits of education
are more than economic. By providing us with a broader view of the world, education helps
each of us become the most complete person we can be. Research suggests that
morehighly-educated individuals are happier on average, make better personal financial
decisions, suffer fewer spells of unemployment, and enjoy better health. Educated individuals
also are more likely to participate in civic affairs, volunteer their time to charities, and
subscribe to personal values - such as tolerance and an appreciation of cultural differences
- that are increasingly crucial for the healthy functioning of our diverse society.
Given our responsibilities at the Federal Reserve as a central bank and financial institution
regulator, we see financial education in particular as a vital part of our mission. In our
increasingly complex financial marketplace, choosing a credit card, saving for education and
retirement, and buying a home now require more financial savvy than ever before. To help
meet these needs, the Federal Reserve supports a variety of programs and initiatives to
increase financial literacy. At the regional level, many of our economic education specialists
offer training seminars to help educators teach economic and personal finance topics in their
classrooms.
In general, higher education is one of the strong points of the U.S. educational system. We
must work diligently to maintain the quality of our educational system where it is strong and
strive to improve it where it is not. In particular, we must find ways to move more of our
students, especially minorities and those from disadvantaged backgrounds, into education
after high school.
The historically black colleges and universities have long played a vital role in this regard.
They have proud record of accomplishment, dating back to 1837 with the founding of what is
now Cheyney University of Pennsylvania. Slavery and segregation cast long dark shadows
on our nation's history and our society, and the historically black colleges and universities
served as beacons of knowledge in the darkness. Today, they are no longer the only places
a young African American woman or man can obtain an education, but they are very fine
choices for many students, and not just African Americans - indeed, 90 four-year and 13
two-year institutions enroll more than 300,000 students, including more than 50,000 who are
not African Americans. In 2006, these institutions conferred more than 30,000 undergraduate
degrees and nearly 9,000 advanced degrees. They have maintained their relevance by
building on their tradition of educational excellence and by harnessing the loyalty and support
of alumni. There are indeed many distinguished alumni of HBCUs, including media
personality and philanthropist Oprah Winfrey, professor and Nobel Prize-winning author Toni
Morrison, former U.S. Surgeon General David Satcher, Brown University President Ruth J.
Simmons, and Major General Dennis Via, among many others.
I wish you a very successful conference. You have much to celebrate and, doubtless, much
to discuss as you strive to find ways to carry the rich heritage of the historically black
colleges and universities into the future.