Where Most Needed

When economist Tyler Cowen wrote about his recent visit to New Orleans for Slate magazine, he observed a huge contrast between the universities and the city as a whole:  the universities are rebounding, the city is struggling to survive.  Without irony, Mr. Cowen found the difference being the superior management and lack of corruption of universities like Tulane and Xavier, compared with city government.   

Even before Katrina, Tulane University (EIN 72-0423889 Form 990) boasted on its web page that it is the largest private employer in New Orleans and the seventh largest in Louisiana.  Fast Company magazine tells us (in a panegyric to Tulane president Scott Cowen, who might or might not be related to Tyler Cowen) that since Katrina, Tulane is the largest employer overall—more than the city government. 

So what the economist found is unsurprising:  Tulane and the other universities of New Orleans (and their associated hospitals) have for some time been the economic engine of the city.  If they don't recover, the city doesn't have a chance. 

Yesterday, the New York Times reported that the government of Qatar is giving $10 million to Tulane, $17.5 million to Xavier University (EIN 72-0635884 Form 990), and a total of $60 million to other charities in New Orleans.  Not only do the nonprofits run the city, they even receive their own foreign aid.  The suggestion (by Fast Company) that Scott Cowen consider running for mayor of New Orleans is made in earnest, except that it probably would be a step down for him. 

Of course Tulane has made gestures to the city as a whole with a requirement of volunteer service from students and a study program called the Partnership for the Transformation of Urban Communities.  But talking and student volunteerism are not going to be enough.  Universities in New Orleans will have to be in the forefront of urban renewal:  there's nobody else left to do it.