It isn't always true that subsidizing something increases its demand and thus its price. So it must be argued that this would be so in this particular instance.
By increasing higher education spending, while limiting the number of people who get in, we could create a system of free higher education. Such people, being released from the present system of debt burden when they graduate, might contribute more to economic growth. It might not work out that way but it could. I have no data either way except to say that in the U.S. the so called greatest generation mostly had free higher education.
Of course increasing higher education funding and spending it unwisely wouldn't be of much benefit.
How will we limit the number of people who get in? On what criterion?
One of the amazing things about the United States and several other countries with a mixed non-system of higher education, including both "public" (government-operated) and "private" (independently operated, but often heavily tax-subsidized) institutions of higher education is that almost anyone can get a higher education. Some get a higher education by having good credentials, and others get a higher education by having money, but almost anybody who desires to pursue higher education can pursue. By contrast, countries with "free" (list price near zero for students, because of taxpayer subsidies) systems of higher education usually have worse access to higher education and lower quality universities besides. Which system do you think offers the better trade-offs to the whole society?
After edit: the current university student I know best has so far not had to spend out of pocket to enroll in his degree program. He attends a state "flagship" university with a strong program in his intended major of computer science, and through the university's policies on need-based and "merit" scholarships, including the National Merit Scholarship, he has had an essentially full ride (tuition, fees, room, and board expenses) to date, while being able to find lucrative summer work as an intern at a local company. There are already some good paths to higher education for the young person who works hard preparing academically while of high school age and who pursues a major with significant problem-solving value in the free enterprise economy.
I was replying to the stated belief that increasing funding for education would cause an increase in demand and thereby increase the price of education. I merely posited that this wasn't necessarily the case. Indeed, if one controls demand by limiting access then the argument about prices necessarily increasing collapses.
Your reaction appears to be emotionally charged. Society is not prepared to provide the funds necessary for universal access to free higher education. Therefore some form of rationing has to occur.
A large percentage of students who graduate do so with a lot of student loan debt. Apparently it isn't the case that everyone can go to university for virtually free in the present system in the U.S.
If you read what I wrote I didn't claim you said that price would increase. Since it isn't necessarily true that the price of education would increase given more subsidies for it then one should argue that this is likely to be the case in this instance. Indeed, it seems unlikely to be so to me because it's easy to limit the demand.
By increasing higher education spending, while limiting the number of people who get in, we could create a system of free higher education. Such people, being released from the present system of debt burden when they graduate, might contribute more to economic growth. It might not work out that way but it could. I have no data either way except to say that in the U.S. the so called greatest generation mostly had free higher education.
Of course increasing higher education funding and spending it unwisely wouldn't be of much benefit.