The author's electricity bill went up and his cat got stolen in part because his colleagues working under the university incentive systems (i.e. don't publish stuff that pisses off the interests that fund your lab) created work that legitimized those policy decisions so that those decisions could be made and the funding interests, whatever they may be, could benefit from them.
One wonders if there are similar incentives in the university ranking, administration and consulting that legitimize the university's otherwise questionable decision to engage in these seemingly irresponsible ventures.
Nobody is waterboarding the money down their throat. They can say no. The actual question is: why don't they?
What is the downside to the school of a nicer student union or a public policy/international relations campus in the nation's capital?
So the researcher intentionally changes some of the ways the data is collected and poof, it looks like the policy works. Extra funding comes your way but now you have committed academic fraud. Not that anything will happen to you for this, but still, you know you did it. That's what the GP is talking about and it happens quite a bit in the humanities and economics. Its why private economists and public economists almost seem like different species.
Whether you believe what he said or not, my questions remain.
Your question didn't bother me in the least, but I don't see why people are so surprised that a school or any other organization would accept millions and millions of cash to upgrade their surroundings.
I'm not saying it can't happen, or even that it's never happened, but I see no evidence from personal experience or news in academia that would indicate it's anything other than extraordinarily rare at most, and it certainly shouldn't be assumed to be the case for all donations unless proven otherwise.
When the means are dropped in their lap, people act on those interests.
Leaving aside that metaphor, the obvious answer is that they either like or need it. Most likely the former, because many of these well known universities are swimming in money already.