Fiscal Policy Effects on Grade Inflation Article with references stating that grade inflation exists and one of its causes is fiscal and budgetary policy, specifically, enrollment-based funding formulas as a means of allocating funds for higher education.
Grade Inflation and Corporatism Questions the assertions that schools are catering to students as "consumers" and trying too hard to please them to keep their business.
NYTimes.com - Harvard Faculty Votes to Put the Excellence Back in the A Harvard is switching to a new grade scale as well as limiting the number of students which can graduate with honors, both in response to the general trend of grade inflation on campus. [Requires free NYTimes.com registration to view.]
The Chronicle: Colloquy: Grade inflation? Government scholarships or tax breaks on tuition that are contingent on students' achieving certain grade-point averages may be responsible for unintended grade inflation on college campuses.