by Simon Johnson

“Are America’s great universities still the stalwart custodians of knowledge, leading forces for technological progress, and providers of opportunity that they once were?  Or have they become, in part, unscrupulous accomplices to increasingly rapacious economic elites?

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“When a professor writes a paper on behalf of an industry group, the industry benefits from–and is, in a sense, renting–the university’s name and reputation.  Naturally, the banker at the CFTC roundtable stressed ‘Stanford’ when he cited the paper.  . . . .

“Ferguson believes that this form of academic ‘consulting’ is generally out of control.  I agree, but reining it in will be difficult as long as the universities and ‘too big to fail’ banks remain so intertwined.”