This article is mostly tripe from a partisan source, but the headline tells an important story. Research is big business and I have no doubt there are private agencies - including less reputable places like the Adam Smith Institute in London - who would be eager to divert research money away from universities and into their own coffers. And right now a lot of it is subsidized by tuition fees and other revenues raises ostensibly to teach undergraduates. Not surprisingly, I am a supporter of publicly funded research, and would consider the privatization of the function a very bad thing, not simply because I do agree we need to continue funding monographs on Jane Austin, but because privatized research would be profoundly unreliable.
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