This paper examines the constraints economic recession has posed for C
anadian higher education in the last two decades and how the decisions
made to resolve the problems shape that institution. Canadian univers
ity administrations have been quite successful in meeting the economic
challenges, balancing the budgets and even projecting an image of gro
wth. In the process, universities have drawn closer to the corporate f
ramework, going after tangible and visible criteria of success/product
ivity and an industrial model of research and staff management. In so
doing they have undermined the roles of teaching and research. Since h
igher education in other parts of the Western world is faced with simi
lar financial problems and has adopted similar strategies, the Canadia
n experience deserves careful study.