Like any entity that wishes to not fail miserably at the next recession universities have cash reserves and investments. It'd be rather stupid of them not to si

Like any entity that wishes to not fail miserably at the next recession universities have cash reserves and investments. It'd be rather stupid of them not to since their income can be impacted by outside events (cough covid cough) and they wish to survive long term (more so than corporations). To that same effect donations go into an endowment which allows for stable long term income to be generated.