gzt: I'll need to address your points one at a time. It will come as no surprise that I disagree with many of your claims. Starting with rankings.New Zealands actual international rankings are falling, because these rankings ARE based on research , publications, etc etc etc as well as how well the students get rated by other research/businesses who employ the graduates. These falling rankings will impact on NZ students getting jobs, PhD/Post Doctorate positions overseas.
In general it is very easy to see NZ university international rankings are not falling at all. In fact the trend is steady and sometimes startling improvements for NZ universities in those international rankings.
There is a major exception and that is where student to faculty ratio is a factor in ranking. As you yourself have advocated increased staffing I'm sure you will find no disagreement with that one.
I agree, University staff numbers are low. However increasing the staff numbers at this point will not increase the number of Maori getting into University. The increase in staff numbers has to be at Primary, Intermediate, and High school levels. Until Maori can even get to university they need an education that allows them to as well as a desire to continue learning.
Universities are shedding staff, closing down subject areas, simplifying courses. They are swapping academic standards for populist stuff that will not improve education.