Higher education has become a black hole for money, with innumerable expenditures on personnel and programs that would never pass the test of the market.

On rare occasions, however, we spot a sensible move, and the budget for the UNC system that is currently under consideration has one. In today’s Martin Center article, Jenna Robinson explains about it. She writes: “The Faculty Retirement Incentive Program (FRIP), if funded, would provide institutions with flexibility, improve university productivity, and save money in the long run. The UNC System has requested authorization, as well as $16.8 million in non-recurring funding, to launch the program. FRIP would give tenured faculty members who are at least 55 years old, and who have worked at a UNC institution for at least 10 years, one year’s salary to give up tenure and retire early.”

This would enable UNC to reduce faculty costs in fields and at institutions where there is less demand than previously.

That is a widespread problem in American colleges and universities. Other states should pay attention to this provision in NC.