Abstract: Due to the limited funds for institutions of higher learning in China, the demand cannot be met and for a long time. To make a fundamental change in the situation, it is analyze the present expenditure stature of various institutions of higher learning. It is obvious that logistics consumes a large proportion of the educational funds. Therefore, a major method to increase the efficiency of higher education is to conduct an overall reform of logistical expenditure, i.e., itemizing the current logistical expenditure and then separeting those for social functions from those for education. In the end, the social functions should be supported by the society.