It would seem that the Economics 101 story around higher education for the past few decades would go something like this: for various reasons, government has decided to increase demande for higher education massively, via increased subsidies and in particular student loans; meanwhile, supply has not kept up, because non-profit universities get paid in prestige (understood as mathematical selectivity) and therefore have an objective self-interest in not growing; the for-profit sector has been designed by regulation such that it exists to vacuum up subsidies rather than provide valuable education; and the government sector hasn’t kept up with demand.

