If government lessened subsidize loans then less people would have an education, and there would be less demand for one, meaning lower costs. However, it also means less money for our educational facilities and thus lower qualities(which could mean the rich goes out of country for education, potentially destroying the entire industry or substantially reducing the number of people it employees), and it would result in less people capable of working in a knowledge base economy, which means less future job prospects for the population and less prosperity for america.

There are a few other things that could be done, such as creating more schools, expanding schools, etc. Education is a need in America, and cutting the means to satisfy that need away to save costs is going to cost more in the long run. I would rather not trade short term gains for long term loses.

Agreed! I hear stories all the time from family about how, "It didn't cost ANYTHING for me to go to school", so why should it be any different now. The prices for school are so sky high now, that it is a struggle for parents with multiple kids to send them all to school. Education shouldn't have to come at a price.