Except that you’re wrong. The incentive to reduce tuition is the simple fact that if they don’t, they stop getting students. Especially at public schools, where legislative funding is already way down and operations depend on tuition dollars. It’s already happening.
Where the reckoning needs to come is in the proliferation of administrators. There are way too many VPs, chancellors, vice chancellors, and provosts who make 6 figures but don’t have a connection to actual education. Look at our own institution, which just created a chancellor of Pullman to serve under the president of WSU. It makes a degree of sense in the fundraising and lobbying world, but between them that’s $1M that never gets close to a classroom.
I’m with you on the worthless degrees though. I don’t think taxpayer funds should go to most of the liberal arts. The job market is pretty limited for degrees in sociology, philosophy, and fine arts. You can get a minor in those if you want, but supporting a BA in them is…BS.