> Universities seem to have no incentive to fail people out, and every incentive to continue grade inflation. Ostensibly, the idea is that if you don't weed ou

> Universities seem to have no incentive to fail people out, and every incentive to continue grade inflation. Ostensibly, the idea is that if you don't weed out the idiots, you are going to end up with people with degrees from your university who are garbage, and this hurts your brand. You see this happening with for-profit colleges, where grade inflation is particularly egregious. "Well, we've given a bunch of DeVry grads a chance, and they've all done terribly. We're not going to be considering DeVry grads anymore unless they can really, really prove that they're any good." This should, in turn, get back to prospective students, who won't go to a college if it can't get them a job. Unfortunately, you're now at three steps that are pretty opaque and difficult to measure, and the rewards for lowering standards are immediate and vast.