Can Harvard Withstand Trump’s Financial Attack?

The world’s wealthiest university is under attack by one of world’s richest, most powerful men. The reasons have to do with disagreements about antisemitism, racial politics and raw power.

But the fight, which the government accelerated with a mistimed letter, is also about taking Harvard and its billions down several notches.

The Trump administration has frozen more than $2.2 billion in grants and contracts that were intended for Harvard, which is also America’s oldest institution of higher education. As Harvard and President Trump face off over the government’s intrusive demands, the university’s riches have emerged as a flashpoint.

Mr. Trump has made it clear that he may want to take every last penny the government sends to the institution — and, if the Internal Revenue Service strips Harvard of its tax-exempt status, maybe collect more from the university, too.

On Monday, the university sued the administration, arguing the government had overstepped. The question is whether Harvard can handle the blow if its legal effort is unsuccessful.

A Balance Sheet of Billions

Harvard was sitting on $64 billion at the end of its most recent fiscal year, after factoring in its various debts. By comparison, this year’s Massachusetts state budget is worth about $58 billion.