HIGHER EDUCATION BUBBLE UPDATE: 180 Private Colleges Fail Education Dept.’s Latest Financial-Responsibility Test. “A total of 150 private nonprofit colleges failed the U.S. Department of Education’s most recent financial-responsibility test, which covers the 2010 fiscal year, according to data released by the department on Wednesday. More than half of them scored so low that they will be required to post letters of credit to remain eligible to participate in the federal student-aid programs. The number of failing nonprofit colleges is about the same as in 2009. Among for-profit colleges, 30 failed the test in 2010, seven fewer than in the previous year.”