Universities with large endowments receive significant tax subsidies as the income and capital gains from these endowments are exempt from being taxed. Frequently, the amount of the endowment that is used to finance the operations of the university is no more than the minimum required by law in order to maintain its tax-exempt status.

The managers of these endowments often receive lavish pay packages, with Mohamed El-Erian raking in $6.5m during his last year as head of the Harvard endowment fund [1]. In that same year, only $1B of the $35B fund was distributed for university operations, an amount that is less than 3%.

[1] http://www.boston.com/news/education/higher/articles/2007/12/21/ex_harvard_endowment_chief_earned_65m_in_year/

Many modern universities have become a way for venture capitalists and large corporations to perform basic research and development using taxpayer funds. The new discoveries and technologies that result from this research are then licensed at very nominal cost to the corporation, so that the vast majority of commercial benefit and financial gain from the publicly-funded research ends up in private hands.

Modern public universities function largely like private entities, making public financial support of them of questionable benefit to taxpayers.

(TEST) Can you clarify what you mean by "all of society"? Does that mean citizens of the same country, or all of humankind in general?

(TEST) The study you cited fails to account for the 'selection effect', i.e. the concept that college graduates earnings might be higher because they are more motivated, not simply due to their degree. See [Jones 2004].

(TEST) I support this view. In addition to the original view, a study by Jones et al found that college increases an individual's earning power by 175% over their lifetime [link to study]. This means that they are paying more taxes and contributing more to society.

(TEST) The benefits of an educated populace accrue to all of society, and thus the government should fund universities through taxes.

I totall agree. Yeah, ban them.Yeah, ban them.Yeah, ban them.Yeah, ban them.

Yeah, ban them.Yeah, ban them.Yeah, ban them.Yeah, ban them.Yeah, ban them.Yeah, ban them.

test argument will delete this in a few moments test argument will delete this in a few moments