This fully revised new edition probes the state of Australian higher education and its future. Peter Coaldrake and Lawrence Stedman's seminal and comprehensive analysis of the challenges faced by the higher education sector has been updated with revisions and a new chapter that addresses current policy and proposed reforms. They argue that neither the market nor central government will be able to shape higher education in an optimal way. Facing greater competition and reduced prospects for public funding, universities themselves must provide the impetus and take responsibility for change as they adapt to complex and uncertain futures.