The closest parallel I see, and granted what happened at PSU was much worse, was what happened to OU after Switzer was forced out, they were pretty bad for a couple of years...but at least OU had a tradition even before Switzer they could draw on, and eventually they were able to rise again.
The problem with Penn State is, before Paterno, they were nothing, he’s all they had, and now that’s gone.
The penalties on Penn State were pretty meaningless. That university has over a billion in endowments and will probably get several times the money involved back from alumni.