El Podcast

E147: Let Colleges Fail! 84-Year-Old Professor Exposes the Truth

Episode Summary

Richard Vedder, Professor Emeritus of Economics at Ohio University, shares his views on why colleges are struggling. He talks about falling enrollment, rising costs, too many administrators, and grade inflation. With over 60 years in academia, Vedder explains how AI and changing student needs are forcing universities to adapt—or risk shutting down.

Episode Notes

Economist Richard Vedder argues that U.S. colleges are bloated, inefficient, and increasingly out of touch with students and the job market. He explains why creative destruction is necessary—and inevitable—in higher education.

👤 Guest Bio

Richard Vedder is Professor of Economics Emeritus at Ohio University, Director of the Center for College Affordability and Productivity, Senior Fellow at the Independent Institute, and author of Let Colleges Fail: The Power of Creative Destruction in Higher Education. He has taught since 1963 and is one of the most prominent critics of administrative bloat and inefficiency in academia.

🎙️ Topics Discussed

• Declining college enrollment and public trust
• Administrative bloat and faculty workload
• The rise of useless degrees and “make-work” programs
• Adjunctification and the academic underclass
• The sorting function of college (and its failure)
• Alternatives to traditional degrees
• Creative destruction in higher ed
• AI’s impact on the knowledge economy and higher education
• How higher ed became disconnected from market forces and students
• Ideas for reform: 3-year degrees, college equivalency exams, credit portability

📌 Main Points

• Enrollment is dropping for the first time in modern U.S. history, even as the population grows—reflecting broad disenchantment with higher education.
• Administrative bloat is one of the most destructive trends: some universities now employ more administrators than faculty.
• Adjunctification has created an academic underclass: a two-tier system where elite tenured professors publish unread papers while low-paid adjuncts teach most students.
• College no longer sorts talent effectively—grade inflation and credential inflation make it harder for employers to assess student value.
• AI is disrupting white-collar work, challenging the basic rationale for many college degrees.
• Solutions include shorter degree programs, reduction of admin staff, greater use of technology, modular degrees, and creative destruction through institutional failure.

💬 Top 3 Quotes

• “Universities are in the knowledge business—but the one thing they don’t want you to know is what they’re actually doing.”
• “There are more administrators in diversity, equity, and inclusion today at some universities than there are history professors.”
• “We used to replace muscle with machines. Now we’re replacing brains—and that should terrify the higher ed establishment.”