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Why? One of the biggest reasons are regional accreditation status. Publishers have far more resource to keep up with accreditation/state requirement and can always keep their content up to date. Whereas it is a gamble for college admin to allow faculty to write their own textbook. And with cut in education funding, we simply can't afford to make that an additional duty for faculty since we are all teaching/advising/researching more due to cut backs.

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Unfortunately, the problem isn’t Barnes and Noble’s economics. It’s the textbook publishers and the entire educational system that enables this practice. B&N actually can only operate student bookstores because there isn’t enough profit in the business for colleges to run it themselves, so they turn to a company that has a bit more negotiating power. But even then it’s not working.