As incoming provost Kent Fuchs begins his transition to his new post I call upon him to consider a new graduation requirement for seniors: a workshop in personal finance. The changing of the guard at the University’s highest academic office offers a unique opportunity for Cornell to become a leader among its peer institutions by educating its students in not only the writings of philosophers, the theories of physicists, or the greatest works of artists and architects, but also in pertinent subjects such as credit card debt, mortgages, and saving for retirement.

Currently, personal finance is not a requirement for any major in the seven undergraduate colleges. In the 2008-2009 Courses of Study catalogue, the only personal finance offering listed is a 2-credit course in the School of Hotel Administration and is limited to 120 non-Hotel students each semester. This offering is completely inadequate.

I firmly believe Cornell University should mandate a sufficient understanding of the basic tenets of personal finance for its undergraduate community. Misconceptions of fundamental economic instruments such as mortgages and loans have led us to the current crisis. Many Americans do not have a complete understanding of personal savings and money management. Cornell has taught hundreds of students how to work on Wall Street. Why has it fallen short in teaching personal finance?

The Treasury Department has recognized that Americans between the ages of 18-24 are key targets to educate in financial matters and has designed a financial education campaign (www.controlyourcredit.gov) directed towards college students. But instead of relying on the indiscriminate efforts of the federal government, Cornell should provide workshops personalized for students of the Big Red. In constructing a syllabus for such a workshop, I would be certain to include sections on the pillars of personal finance, specifically mortgages, use of credit, insurance, money management, repayment of student loans, and retirement planning. Especially in light of the ongoing meltdown, the lesson plan should address the questions: what criteria are important in obtaining a mortgage? How can we protect ourselves from a bad credit score?

In college, we are well-equipped to learn such real life concepts. Within an academic environment, this type of workshop could come in various forms. Similar to AlcoholEdu, the personal finance workshop could be online and structured in the form of tutorials and cumulative pass/fail quizzes. Conversely, the workshop could resemble the New Student Reading Project and comprise of a series of discussions over the course of one or two days. Workshops could be offered on multiple occasions throughout the semester and seniors could sign up at a time convenient to them. Cornell could bring in visiting lecturers with expertise in any of these fields, or recruit professors from within the business-oriented majors.

Cornell currently has a handful of University-wide graduation requirements including the swim test, AlcoholEdu, and the freshman writing seminars. It is clear that Cornell has continued to emphasize these critical life skills, and I argue that matters of personal finance are equally important. In particular, undergraduates with heavy students loans may graduate with an incomplete understanding of how to properly manage the debt they have incurred while at Cornell. Like the swim test, a workshop of this nature will help to keep students afloat.

It is possible that the faculty will not look favorably upon this idea. Creating an additional University-wide requirement could turn some heads, but that does not negate its importance, nor suggest that such a workshop would be impossible to implement. I encourage other undergraduates and student organizations to propel this effort forward for implementation in the near future.

At the end of the day, responsibility for oneself ultimately lies within the hands of the individual. In this financial crisis many Americans did not clearly understand what kind of financial obligations they were entering. There is plenty of blame to go around in this volatile financial environment, but moving forward it is evident that there is a way to avert another crisis: better education in personal finance.

In Monday’s Sun, President Skorton wrote, “challenging times require creative thinking and flexibility, but that’s what Cornell and Cornellians do best.” I agree with President Skorton. The requirement I have proposed is a creative way for Cornell to do its part in forestalling another crisis. The administration is certainly addressing the short-term consequences attached to the economic situation, but what will our University do to help prevent a future collapse? Cornell should take it upon itself to educate its own students not to fall prey to financial ignorance. Like swimming or writing, these are basic life skills.

Let’s avert the next financial crisis one Cornellian at a time.

Laura Temel is a senior in the College of Arts and Sciences. She can be reached at ltemel@cornellsun.com. The Girl With Kaleidoscope eyes appears alternate Wednesdays.