Student newspaper has details of employee only meeting on University’s financial challengers.
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I’m sure the free-market evangelists of U of Chicago’s Econ department are fine with all of this and will gladly give up their jobs and tenure as needed. 
Their direct mail campaign must be costing them a fortune.
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That was the gist of my other planned joke. I should have lead with that one! 
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A couple of observations, offered by an economic ignoramus (me):
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I have heard much praise of Chicago’s policy of borrowing during the era of low interest rates as a means of financing construction of new facilities. That seemed canny to me, though everyone knew it wouldn’t last forever. I note that interest charges now amount to 5 percent of total expenses. But just as debt has become suspect when rates have become high, it will become more tolerable when rates once again come down. What was low was always going to go high, and what is now high will again go low.
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In the world of small business, write-downs for depreciation are largely a tax dodge, a paper deduction not a real one. I note that Chicago’s depreciation write-down amounts to almost exactly the total of its deficit (7 percent as against 8 percent). I know, I know, theory demands it (and at Chicago there’s a slogan on a t-shirt to that effect), but it’s not as though that 7 percent is actually being paid out the door and thereby bringing the wolf to it.
All said, some tightening may well be in order. DEI and HR staff, stay alert!
From the article. Here’s one way to answer the question that really isn’t an answer at all:
“The deficit exists because the growth in expenses has been greater than the increase in revenue,” wrote a University spokesperson in response to a question from The Maroon .
This critique of their planned response—interestingly, written by a classics and history prof— should be heeded:
“while he cited the presentation from the Budget Office as “a welcome step toward transparency,” he has concerns about the feasibility of the University’s medium term revenue growth strategies which include expanding professional and masters degree programs, research licensing, and greater facility utilization with summer programs and conference hosting.
“Comparative and historical data suggest that the University’s plans to meet its budget deficit in part through increased revenue face very strong headwinds,” Ando wrote in an email to The Maroon.
In other areas of higher education, breaking into a space like professional education that is already populated by established providers has proved exceptionally difficult…”
I also wonder if that planned expansion into “non-degree professional/exec ed” spaces will water down the brand. And “sponsored research and partnerships” can be a slippery slope in terms of ethics/integrity.
That seems like a sure bet that fewer students want to go to U of Chicago.