HIGHER EDUCATION BUBBLE UPDATE: Many Private Colleges Are In Trouble. “But the real challenge facing many colleges and universities at the moment is that their business model is fundamentally broken. ‘Business model’ isn’t a popular phrase in higher education, either, but all colleges have one. When we use the term, we are referring to the revenue that an institution must take in to support the resources and processes it uses to deliver on its value proposition. Many colleges and universities are increasingly unable to bring in enough revenue to cover their costs.”

If only there had been some kind of warning.