Which is another way of saying:
Harvard is still in denial.
They (like many) are refusing to admit that they made bad investments that are no longer worth what they once were. So they're trying like hell to avoid realizing those losses, because that red ink would go on their permanent record. Which is tantamount to career suicide. (Hence the blame-gaming at all levels)
Selling in a down market can often be worse than debt.
The cuts are extreme because they need to start thinking 1/2 the ROI * 70% of the endowment or ~35% of last year’s income. They must do a huge drop in spending over the next 10 years or they are going to actually run out of money.
They (like many) are refusing to admit that they made bad investments that are no longer worth what they once were. So they're trying like hell to avoid realizing those losses, because that red ink would go on their permanent record. Which is tantamount to career suicide. (Hence the blame-gaming at all levels)