Week 8: Economic Models of Open Education

QUESTIONS: How can you build a sustainable business around giving away educational materials? How can you build a sustainable business model around giving away credentialed degrees? Should governments fund open education? (Do they already?)

The readings this week brought nice discussions on the concept of OER sustainability. I will cite here the definition that I thought was more complete and concise - According to Wiley (2007), sustainability is "(...) an open educational resource project's ongoing ability to meet its goals." Also, it is important to highlight that these goals are related to other issues, as mentioned by Koohang & Harman, 2007: "instructional design and presentation; cost of production and maintenance; support; and OER communities of practice as relate of scalability." Building sustainability must take into account those issues and may follow different funding models, according to particular circumstances and needs. Another point to consider is that the costs involved can be met with resources other than money, merely.
Although the resources arrive free of cost to the users (I do not particularly like the term "user" in educational context, but I will use it for a broader, general sense here) it does not mean that their production, delivery and review process are for free, as well. Funding can occur through diverse means.
Wiley (2007) cites different OER business models: MIT, USU and Rice. Wiley also cites different funding models - endowment, membership, donations, sponsorship, conversion, contributor-pay, institutional, government. These models point to different possibilities of OER sustainability.
As for the sustainability of giving away credentialed degrees, Downes mentions the co-development model (and he cites some innitiatives that involve Brazil). This model seems to be ideal and it makes reference to the community of users. Just a quick note here: this partnership model always seems to benefit one side better than the other, as I know from experience.
Should governments fund open education? Yes, sure, and some are already doing it. The Brazilian federal government has funded a nation-wide learning objects project through the Ministry of Education that is being developed by many public universities throughout the country. This project will make learning objects available for public fundamental education.