HIGHER EDUCATION BUBBLE UPDATE: Colleges Paying The Price For Expensive Facilities.

Due to the abundance of easily-available government loans, colleges have had little reason to compete on price, instead choosing to lure students through expensive projects like those seen in the video above. But we’re starting to see early signs that students are becoming more sensitive to price, which could spell trouble for schools that invested heavily in white elephant projects like these.

In addition to the points about frivolous college spending, the interview hits on a number of other themes we’ve discussed here at length, including the rise of MOOCs, the challenges facing many liberal arts colleges, and the appeal of programs that reward students for what they learn rather than how long they spend sitting in classrooms.

Indeed.