Education is highly regarded as a tool for economic security on personal level, and for the country. Getting a college degree is a huge task, especially with the continuing rise of tuition. For a poor country like the Philippines, where resources are very limited, college educations may only be a dream. That’s why, rationalizing higher education is important for the future of the next generations Rationalizing of higher education has many specific Issues. The first issue is theoretical versus applied learning. Some schools are using theory and facts in teaching, without applying that knowledge into action. For me as a future teacher, application of knowledge is more important for students to know, if they really understand lesson. Even in hiring faculty members full of practical, and applied learning, is good in institutions for applied learning. With the internet, there is now the shift in importance from data gathering, to the management and use of data. For this reason, utilization of new knowledge is lower because transmission and dissemination of new knowledge is not done effectively. There should be a mechanism that will facilitate the dissemination of new knowledge. Schools should only focus on specialization, and avoid adding new course offerings that do not complement the existing academic programs. They might lose their academic focus, add financial problems, and deteriorate their facilities. At present time, tuition fees in private tertiary schools are increasing. Due to the costs, there are more students who are enrolled in public higher education institutions. Sharing resources like libraries is common for many Institutions. They let other schools enter their library. In that way, complementary programs, and sharing resources is working towards improving the experience at each institution. Performance of state universities and college's presidents and administrators, are still the biggest influence on the institutiona