I’m Romanian, I’ve just finished high school, I’m currently taking the Bacalaureat, and I’ve already been admitted to an American university (USC). I knew from the start that I wanted to study abroad, and I’ve always been fascinated by California, especially Los Angeles, so the U.S. was my first choice. That said, I also looked into universities in the UK, the Netherlands, Canada, and Ireland, and their tuition fees are significantly lower.
Basically the government guaranteed loans to college kids, saying you can’t be denied a loan. The idea was to allow anyone the means to better themselves through an education.
Then colleges realized they could raise prices to whatever they wanted and the loans would get approved. Remember you can’t deny someone a loan for college anymore, they don’t check if the prices are “reasonable”.
I’m sure there’s more nuance and other factors to it.
State governments realized they could reduce their funding towards universities (or keep it fixed while it devalues due to inflation) and push the cost onto students. Administration has also exploded in numbers. Many get paid much more than faculty. Universities have also expanded services and features to make students want to come. Universities can’t raise prices higher than students are willing to pay. Note students are also not guaranteed to get federal loans plus there are limits. Private loans aren’t guaranteed either but have a variety of programs.
Universities are "adjunctifying many positions and adjunct professors are not paid well. Some faculty are homeless.
The guarantees for student loans actually go the other way - the guarantee is for the lender. Given the amounts people generally need for an education, along with a complete lack of income, students wouldn’t be able to get a loan of sufficient size without government stepping in as a backstop.
Not just that but allowed entire industries to cash in on these loans. See: text book prices
Textbooks have more features than they used to, like online homework and the like. The online component makes it easier for companies to push new versions. Professors are overworked, and intro classes, where book prices/versions rule the most, are massive. The dept probably doesn’t have funds for a full TA so grading becomes a massive undertaking. It isn’t possible in many cases to manage lecture halls without the features from the textbook publisher. So what is a young faculty member likely to do? Pick a text from a major publisher. Generally speaking, faculty aren’t out to get you, they are trying to teach you.