I think the focus is because as a leading institution, Harvard (and the rest of the Ivies) set the trend for how the rest of academia will organize themselves.

I think the focus is because as a leading institution, Harvard (and the rest of the Ivies) set the trend for how the rest of academia will organize themselves. If Harvard hired a vice-Provost of Higher Student Satisfactionality, well then surely Directional State U must have one too! So bloat in the private schools leads to bloat in the public as they try to keep up, with, as you mention, diminishing funding. Same logic applies to business - everyone in Silicon Valley was copying Steve Jobs' best and worst characteristics after the iPhone. You're argument on the state school is also spot on