What do these paragraphs mean?

Question:As quoted from Newsweek magazine.

"Why indeed? Yet no country can afford to throw in the towel."
What does "throw in the towel" mean?


This article is about America's and Britain's colleges and how they are losing international students to other countries.
"Australia shows that the secret to success often has as much to do with government policy as with academic philosophy. Lavish grants can offset the Brits' and the Americans' edge in prestige. Foreign students at state-run schools in Singapore now get an 80 percent discount."
what does "academic philosophy" mean?

Answers:
Throw in the towel means to give up/give in.American n britans colleges r getting less students because of their own ideas how to treat/charge students(academic philosophy)
Australia on the othern hand,and other countries are enticing more students by offering them more better terms(acedemic philosophy).
"Throw in the towel" means to "give up" or "quit". Refers to boxing and wrestling where managers/trainers/seconds throw a white towel in to the ring to signal the referee that their man can't continue.

"Academic philosophy" I haven't heard before but in this context I would think it means what the school(s) feel are the courses it's students need to take, or what the school(s) feel are important courses to offer.
To "throw in the towel" means to give up. Athletes might literally throw in a towel.

"Academic philosophy" in this case means the way Australia has pitched their thought toward academics (or scholars, meaning students & teachers) in their country. Their "academic philosophy" is to teach as many as possible in as good an environment as they can think up.

Their "government pollicy" is to give out large and generous grants ($$$) to offset the cost a student faces to go to school there, thus luring more people to their schools.

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