it's a bindi cline on the endump. if you spend 5% in the long run, that's a $350 million a year hit to our operating budget which is about 2 point 8 billion dollars. necessary reduction and expenses we have to undertake over the next few years. >> where - >> charlie: where do you put that in terms of the changes for the university. >> it is a change. we made moves this past year that have eliminated about half of that gap, maybe a little more than half. >> charlie: what budget changes. >> we reduced the expenditures on nonfaculty personnel, on all of the administrative staff by 7.5%. we reduced spendure on nonsalary items, materials and supplies by 7.5%. we froze the salaries of all people making more than $75,000 and increased salaries of those below $75,000 by only 2 percent %. >> charlie: let me go to awe broad. >> i feel very strongly america has been too insular society. every day you read the newspaper, if you hiccup in china or if there's a problem in brussels, you feel it in the united states and vice versa. s