The Changing of the Guard: The Political Economy of Administrative Bloat in American Higher Education

Todd J. Zywicki and Christopher Koopman:

The cost of higher education in the United States has risen dramatically in recent years. Numerous explanations have been provided to explain this increase. This paper focuses on one contributing factor: The dramatic growth in the size and expense of non-academic administrators and other university bureaucrats, which has outpaced the growth of expenditures on academic programs. Given that university faculty are typically viewed as the constituency that primarily controls universities, this growth of non-academic employees and expenses appears to be anomalous. Some theories are provided to explain this transition.

Something has happened to the structure of higher education in American universities. Universities have increased spending, but very little of that increased spending has been related to classroom instruction; rather, it is being directed toward non-classroom costs. As a result, there has been a growth in academic bureaucracies, as universities focus on hiring employees to manage or administer people, programs, and regulations. Between 2001 and 2011, these sorts of hires have increased 50% faster than the number of classroom instructors. This trend toward growing academic bureaucracies has become ubiquitous in the landscape of American higher education.