Can you clarify the 'heavily subsidized' part? I don't know a whole lot about this area, but I was under the impression that relatively speaking, the US higher education system was significantly less subsidized than in many comparably developed countries. And anecdotally, I'm sure we all know students and families that struggle with tuition costs. Are the subsidies you're talking about Pell grants? or tax breaks for funding education? People in this conversation make is sound like getting a full ride from public funds is the norm, but that seems really off.
Public Universities (which usually have names like "University of Florida" or "Idaho State University" are heavily subsidized by direct money from (primarily) state governments. Many "private" universities also get significant direct money from government. In addition, there are federally (and state) funded scholarship programs that give money for school directly to students, and student loans have their interest paid while the student is in school by the federal government.
I don't know how it compares to other countries, but there is a lot of government subsidization.
