There are two articles (one of which is derived from the other):
Reagan's 1967 Speech Changed Purpose Of College Forever, Says Journalist
Reagan's Budget In California Cuts Called For Ending 'Intellectual Luxuries'
By Scottie Lee Meyers
Air Date: Tuesday, February 3, 2015, 2:00pm
In his latest piece for the Chronicle of Higher Education, reporter Dan Berrett writes that in 1967, California’s higher educational system was the envy of the world.
But, earlier that year, newly-elected California Gov. Ronald Reagan, who won on a platform of cutting taxes and reducing state spending, told universities that there would be some “intellectual luxuries” that they would have to do without.
At a press conference in Sacramento on Feb. 28, 1967, Reagan told a crowd that the taxpayers shouldn't be subsidizing intellectual curiosity. He told colleges to shift their focus by teaching workforce entry skills. It was a view 180 degrees opposed to the idea that college is a place for intellectual development and took a longer-term view about which skills are actually useful.
It was on that day in late February, more than 48 years ago, that the purpose of higher education changed forever, Berrett said.
...
https://www.wpr.org/reagans-1967-speech-changed-purpose-college-forever-says-journalist
The Day the Purpose of College Changed
After February 28, 1967, the main reason to go was to get a job
By Dan Berrett | January 26, 2015
The governor had bad news: The state budget was in crisis, and everyone needed to tighten their belts.
High taxes threatened “economic ruin,” said the newly elected Ronald Reagan. Welfare stood to be curbed, the highway patrol had fat to trim. Everything would be pared down; he’d start with his own office.
California still boasted a system of public higher education that was the envy of the world. And on February 28, 1967, a month into his term, the Republican governor assured people that he wouldn’t do anything to harm it. “But,” he added, “we do believe that there are certain intellectual luxuries that perhaps we could do without,” for a little while at least.
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https://www.chronicle.com/article/the-day-the-purpose-of-college-changed/
The press conference in Sacramento is here (it starts on page 18 of the PDF which is downloaded by my cited link):
PRESS CONFERENCE OF GOVERNOR RONALD REAGAN -
HELD FEBRUARY 28, 1967
---oOo---
Reported by:
Alex C. Kaempfer, CSR
...
A [Reagan] Well, could I take a school out of this State so
that I won't get embroiled any farther than I am in the
controversy? In a state back in the midwest where they
discovered that a state university was offering a master's
degree in the repair of band instruments, and I thought that
this was sort of subsidizing intellectual curiosity.
Q What state was that?
...
Transcripts - 02/21/1967, 02/28/1967, 03/13/1967 - (NOTE:This downloads a PDF copy of the transcript!)
The page of the Reagan Presidential Library's website that contains this transcript is here:
My excerpt only presents a small portion of the discussion - the portion that contains Reagan's "intellectual curiosity" statement. The whole press conference is worth reading as many topics other than budget are discussed - i.e., abortion is mentioned. Also, Reagan's first example regarding educational cuts was a course on demonstrating, but he refused or could not provide specifics about it.
Anyway, I like going back to original documents, if possible. Now, to watch the piece from Democracy Now - i.e., thanks for your posting of the video.
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