The different ways that colleges and universities can assume expanded responsibilities in national renewal are considered. After reviewing federal policy toward higher education, the American economy and competition from other countries are considered. The need for social and political renewal is also addressed, including the imperative for civic involvement in an age of self-interest. Also considered are: the question of whether colleges are graduating enough engineers and computer scientists; the availability of Ph.D.'s; the role of colleges in encouraging creativity; creativity and admission to selective programs; education for civic responsibility; active learning; student financial aid; college attendance by minorities; the expansion of international exchange; the university role in research and technology; international competition in technology; federal support for research and development; balancing the needs of defense, health, and economic development; university/industry cooperation; and investing in research libraries and advanced instruments for university research. Alternative proposals for the financial aid system include: providing aid to students who engage in public service, and awarding federal scholarships to students who agree to teach in the public schools after graduation. (SW)