The following is part of a memorandum from the president of Humana University. "Last year the number of students who enrolled in online degree programs offered by nearby Omni University increased by 50 percent. During the same year, Omni showed a significant decrease from prior years in expenditures for dormitory and classroom space, most likely because instruction in the online programs takes place via the Internet. In contrast, over the past three years, enrollment at Humana University has failed to grow, and the cost of maintaining buildings has increased along with our budget deficit. To address these problems, Humana University will begin immediately to create and actively promote online degree programs like those at Omni. We predict that instituting these online degree programs will help Humana both increase its total enrollment and solve its budget problems."