Why Trump wants $1 billion from UCLA but only $500 million from Harvard: The politics behind the numbers
The Trump administration has demanded $1 billion from the University of California, Los Angeles (UCLA) whilst seeking only $500 million from Harvard University, despite Harvard having significantly more frozen federal funding.
The stark difference in settlement figures has raised questions about the political calculations behind the administration's approach to higher education negotiations.
Both universities face substantial financial pressure after the administration froze federal grants, with UCLA losing access to approximately $584 million and Harvard facing $2.3 billion in frozen funds. The disparity between frozen amounts and settlement demands reveals a complex strategy that extends beyond mere financial recovery.
Public versus private university leverage
UCLA operates as a public university within the University of California system, making it directly accountable to state taxpayers, legislators, and California's political establishment. This structure provides the Trump administration with multiple pressure points, allowing officials to simultaneously challenge a political rival state whilst establishing precedents for reshaping public universities nationwide.
Harvard's position as a wealthy private institution grants it considerably more operational independence. The university can rely on its endowment exceeding $50 billion and possesses substantial resources for aggressive litigation. This financial strength provides Harvard with greater leverage to resist government demands, potentially explaining the lower settlement figure despite higher federal funding exposure.
Symbolic political targeting
California has maintained consistent opposition to Trump administration policies across immigration and climate initiatives. UCLA represents a symbolic crown jewel of the state's progressive higher education system, making the $1 billion demand as much about political messaging as financial recovery.
The elevated demand sends a clear political message and energises the administration's base against what officials characterise as "blue state elites."
Harvard faces different political calculations, already serving as an archetype of elite liberalism. The $500 million penalty, whilst substantial, focuses more specifically on campus activism and diversity, equity, and inclusion (DEI) practices rather than direct confrontation with state government.
Institutional reform requirements
UCLA's draft settlement encompasses sweeping institutional changes including bans on overnight protests, restrictions on race-based scholarships and hiring, identification requirements for protestors, limits on transgender healthcare and athletics, and enhanced oversight of international students.
The settlement's scope reflects the administration's demand for comprehensive systemic reforms.
Harvard's negotiations have concentrated more narrowly on restoring funding, DEI programme rollbacks, and admissions transparency measures. The more limited institutional overhaul corresponds with the reduced financial penalty, suggesting a strategic approach linking demanded changes to settlement amounts.
TOI Education is on WhatsApp now. Follow us
here
.
Ready to navigate global policies? Secure your overseas future. Get expert guidance now!
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Time of India
30 minutes ago
- Time of India
China Parades Deadliest Superweapons; Hypersonic Missiles, Sea Drones, Battle Tanks On Display
Russia Humiliates Trump With 5% Oil Discount To India Amid Fierce Sanctions Battle And Tariff War Russia has openly taunted the United States by announcing it grants India a 5% discount on crude oil imports, just as Donald Trump's administration announced sweeping tariffs on New Delhi. Moscow's deputy envoy Roman Babushkin hit back at Washington, declaring that US sanctions were 'unjustified and unilateral,' and promising that Russia's market would embrace Indian exports if America blocks them. This bold move comes as India resumes Russian oil purchases after discounts widened, reigniting Washington's anger. US Treasury Secretary Scott Bessent lashed out, accusing India of 'profiteering' and undermining sanctions by reselling Russian crude. But Moscow insists India's growing oil demand makes the partnership 'perfectly complementary.' In the face of Western pressure, Russia has positioned itself as India's most reliable energy partner, transforming sanctions into opportunity, and delivering a clear message that Washington cannot dictate India's choices. 98.7K views | 16 hours ago
India.com
30 minutes ago
- India.com
Nikki Haley's warns Trump of China's ambition amid tariff war with India: 'It would be a disaster if..., India only country that can...'
Home News Nikki Haley's warns Trump of China's ambition amid tariff war with India: 'It would be a disaster if…, India only country that can…' Nikki Haley's warns Trump of China's ambition amid tariff war with India: 'It would be a disaster if…, India only country that can…' Emphasising that India should be 'treated like the prized free and democratic partner' Nikki Haley, former US Ambassador to the United Nations, has cautioned that ties between Washington and New Delhi Nikki Haley Emphasising that India should be 'treated like the prized free and democratic partner' Nikki Haley, former US Ambassador to the United Nations, has cautioned that ties between Washington and New Delhi are near a breaking point. India and US have been witnessing a rough patch with Donald Trump imposing tariffs. What the former diplomat said? The former US Ambassador to the United Nations said it was critical to get the relations back on track if America hopes to contain China's growing global ambitions. 'To achieve the Trump administration's foreign policy goals-outcompeting China and achieving peace through strength-few objectives are more critical than getting US-India relations back on track,' she wrote. More to add For breaking news and live news updates, like us on Facebook or follow us on Twitter and Instagram. Read more on Latest World News on
&w=3840&q=100)
Business Standard
30 minutes ago
- Business Standard
US tariffs may lower India's growth by 30 bps over a year, says HSBC report
The 25 per cent tariff imposed by the President of the United States (US) Donald Trump on India is likely to lower growth by 30 basis points (bps) over a year, according to an HSBC report. The growth drag may further rise to 70 bps with a 50 per cent tariff, it added. The report titled 'India Economics: Clouds lifting, or just shifting?' was released on Tuesday. "The 25 per cent + 25 per cent tariff rates imposed by the US authorities on India's exports have dimmed some of the growth prospects," the report said. Along with the 25 per cent tariff in effect, the US had imposed an additional 25 per cent penalty on India for importing crude from Russia. The additional penalty is set to come into effect from August 27. Around 20 per cent of India's overall exports go to the US, valued at 2.2 per cent of gross domestic product (GDP). Although one-third of these exports remain exempt from the tariffs, a 50 per cent tariff could lower growth, the report said. Many of the affected exports, including jewellery, textiles, and food products, come from labour-intensive small firms, therefore, disruptions will impact domestic consumption, it said. If the export outlook weakens, it may also reduce foreign investment and slow corporate spending, which forms 12 per cent of GDP, the report added. Global developments to affect economy The report said that the tariff outlook remains uncertain, depending on US-Russia-Ukraine peace talks and India-US trade negotiations. It noted that global developments involving Trump, Russian President Putin, and Ukrainian President Zelenskyy will determine the impact of the oil penalty. Citing Bloomberg, it added that Trump has urged Putin to hold a summit with Zelenskyy within the next two weeks. Tax cut may drive growth The Goods and Services Tax (GST) reforms announced by Prime Minister Narendra Modi during the Independence Day speech are likely to boost demand across segments, the report said. "Immediate tax cuts could spur demand across products –food, beverages, consumer durables, autos, hotels, cement, and building materials. Efficiency gains of moving to a simpler and more predictable tax regime with fewer rates could raise India's potential GDP growth over time," it added. On 15 August, PM Modi announced an overhaul of the GST tax regime, slashing rates across a range of products by moving the majority of the items in the 12 per cent and 28 per cent slabs to the 5 per cent and 18 per cent slabs, respectively. The system of four key GST rates (5 per cent, 12 per cent, 18 per cent, and 28 per cent) is being simplified into two main rates (5 per cent and 18 per cent) alongside a special rate of 40 per cent for seven sin goods and luxury vehicles. The report estimates that while some products will be moved to lower tax buckets, a minority may be pushed up. The cost to the exchequer will be around 0.4 per cent of the GDP. "In the GST spirit, this could be equally split between the central and state governments," the report said.
