Why For-Profit Colleges Are Like Health Clubs

They spend more on recruiting and less on instruction than their nonprofit counterparts do, a scholar's model shows

In many ways, for-profit colleges, like the University of Phoenix and American InterContinental University, are not all that different from public universities or private colleges. All of them seek out students, collect their tuition, and then use that money and other revenue to pay for the costs of instruction, counseling, and other activities.

But one