Book excerpt: Understanding the politics of Higher Education is becoming more important as the sector is increasingly recognised as a vital source of innovation, skills, economic prosperity, and personal wellbeing. Yet key political differences remain over such issues as who should pay for higher education, how should it be accountable, and how we measure its quality and productivity. Particularly, are states or markets the key in helping to address such matters. The Handbook provides framing perspectives and perspectives, chapters on funding, governance and regulation, and pieces on the political economy of higher education and on the increased role of external stakeholders and indicators.