The policies of the Australian federal government are clearly intended to bring about a fundamental transformation of the country's higher education system. The Australian case, however, presents several paradoxes. Policy changes are being initiated by a federal government that has no legislative control over state chartered higher education institutions. While the federal government wishes to see a more diversified and adaptive higher education system, it seems to be implementing a reward structure for individual institutions and academics which encourages imitation of the elite universities. Although government claims that its new policy initiatives are designed to debureaucratize the system, a significant proportion of the Australian academic community claims that government is centralizing control. This article explores these and other issues facing Australian higher education, not for the purpose of resolving the seeming paradoxes, but to suggest a particular research agenda for investigating change in higher education.There can be no doubt that over the last three years or so change has been a fundamental characteristic of the Australian higher education system. This does not imply that stability was the distinguishing feature of the system in the past, nor does the statement define the profundity of change: seminal or cosmetic; long-lasting or temporal; revolutionary or incremental. Too often, description of events in higher education assumes implicitly one or more concepts of change -adaptation, evolution, determination, development, etc. -in such a way that the unarticulated concepts are substituted for the object of study. The substance of change and the consequences (intended or otherwise) are first of all empirical questions which themselves demand investigation through a particular and explicitly stated theoretical perspective. It is the purpose of this article to locate the examination of change in Australian higher education within a particular theoretical/conceptual frame of reference.To begin this task, definitions of higher education are in order, both descriptive and analytical.