Problems in higher education were identified by a study group in a year-long study funded by the National Institute of Education. Problem areas included: college student attrition, declining test scores of graduate school applicants, an increasingly impersonal atmosphere on campuses and less involvement of students with academic life, deteriorating buildings and equipment, and inflation that has outpaced faculty salaries. To achieve excellence in higher education, the study group advocated involving students in school, setting high and clear expectations, and providing regular assessment and feedback to students. Specific recommendations for these goals are offered, including: devoting more time to freshmen and sophomores; using a variety of teaching styles (not just lectures) and requiring that students take greater responsibility for their learning; making sure the curriculum matches specific graduation requirements; requiring at least 2 years of liberal arts courses for a bachelor's degree; requiring students to pass proficiency exams; developing a comprehensive assessment program, including essays, interviews, portfolios, and tests; and involving faculty in designing assessment methods. (SW)