As a design innovation, the modern university is an institution that unites the advancement of knowledge through research with its dissemination through teaching. Its inception in Germany in the first decade of the nineteenth century inspired an American adaptation that merged the German version with the English undergraduate college to produce a new bundle that would be emulated the world over. The historical view reveals cycles of sustaining innovation in which academic entrepreneurs supplemented the research-teaching synthesis with institutions devoted to one task or the other. Despite these disruptive efforts and continuing evidence of inefficiency, however, the original institutional hybrid remains the dominant model. This essay argues that the university’s persistence is best understood as fulfilling a deeper need in American political culture.