Could Harvard Go Bankrupt?

After years of spending its massive endowment willy nilly, Harvard University is now "at risk of not being able to keep the lights on," Nina Munk reveals in the August issue of Vanity Fair. As the economy has tanked, the school's endowment has collapsed, its fundraising has declined, and its construction projects have halted—and no one can decide who to finger. The consequences? “There are going to be a hell of a lot of layoffs. Courses will be cut. Class sizes will get bigger,” a Harvard insider confides. Meanwhile, longtime Harvard Law prof Alan Dershowitz offers his analysis: "Apparently nobody in our financial office has read the story in Genesis about Joseph interpreting Pharaoh’s dream—you know, during the seven good years you save for the seven lean years."