Clay Shirky on "The End of Higher Education's Golden Age"

I have heard of Clay Shirky, but don't recall having had the opportunity to read him before. According to the Wikipedia,
Clay Shirky (born 1964) is an American writer, consultant and teacher on the social and economic effects of Internet technologies. He has a joint appointment at New York University (NYU) as a Distinguished Writer in Residence at the Arthur L. Carter Journalism Institute and Assistant Arts Professor in the New Media focused graduate Interactive Telecommunications Program (ITP). His courses address, among other things, the interrelated effects of the topology of social networks and technological networks, how our networks shape culture and vice-versa.
Here in his blog, he writes starkly about, in general, the development of the current model of higher education and its declension, and, in particular, why higher ed will change to embrace tech-enabled, large-scale, low-cost models.
The End of Higher Education’s Golden Age
Interest in using the internet to slash the price of higher education is being driven in part by hope for new methods of teaching, but also by frustration with the existing system. The biggest threat those of us working in colleges and universities face isn’t video lectures or online tests. It’s the fact that we live in institutions perfectly adapted to an environment that no longer exists.
http://www.theawl.com/2013/02/how-to-save-college
In the first half of the 20th century, higher education was a luxury and a rarity in the U.S. Only 5% or so of adults, overwhelmingly drawn from well-off families, had attended college. That changed with the end of WWII. Waves of discharged soldiers subsidized by the GI Bill, joined by the children of the expanding middle class, wanted or needed a college degree. From 1945 to 1975, the number of undergraduates increased five-fold, and graduate students nine-fold. PhDs graduating one year got jobs teaching the ever-larger cohort of freshman arriving the next.
This growth was enthusiastically subsidized. Between 1960 and 1975, states more than doubled their rate of appropriations for higher education, from four dollars per thousand in state revenue to ten. Post-secondary education extended its previous mission—liberal arts education for elites—to include both more basic research from faculty and more job-specific training for students. Federal research grants quadrupled; at the same time, a Bachelor’s degree became an entry-level certificate for an increasing number of jobs.
This expansion created tensions among the goals of open-ended exploration, training for the workplace, and research, but these tensions were masked by new income. Decades of rising revenue meant we could simultaneously become the research arm of government and industry, the training ground for a rapidly professionalizing workforce, and the preservers of the liberal arts tradition. Even better, we could do all of this while increasing faculty ranks and reducing the time senior professors spent in the classroom. This was the Golden Age of American academia.
He concludes:
It will also require us to abandon any hope of restoring the Golden Age. It was a nice time, but it wasn’t stable, and it didn’t last, and it’s not coming back. It’s been gone ten years more than it lasted, in fact, and in the time since it ended, we’ve done more damage to our institutions, and our students, and our junior colleagues, by trying to preserve it than we would have by trying to adapt. Arguing that we need to keep the current system going just long enough to get the subsidy the world owes us is really just a way of preserving an arrangement that works well for elites—tenured professors, rich students, endowed institutions—but increasingly badly for everyone else.
See the whole post at the link.
As with many good/provocative blog posts, you should be sure to read the comments conversation at the bottom.