FINDING THE RIGHT BUSINESS MODEL. Highered Intelligence looks at grade inflation, suggests that the problem is the self-esteem of the faculty and administrators. Perhaps, although not all of us were recognized as Great Thinkers and had our way made easier in the way he suggests. I've also got to question the students-as-customers mindset, yet again. There are parallels between issuing inflated grades and issuing devalued currency. Degrees are very easily gotten, you don't even have to ride a tornado to Oz to get one. But degrees have different information content, either about the human capital embedded in the holder or about the signal of ability to jump through the right hoops. Degrees too easily obtained for too long a time lead to frustrated alumni over the long term, and dwindling enrollments.