I see a statistical miswriting in the middle of the article. It states that tuition costs are up by 1000%, while state aid to state universities is down by 40%. That almost certainly is apples vs. oranges talk. I bet that the 1000% is without inflation adjustment, while the 40% decline is after accounting for inflation. States certainly are spending more on their colleges and U-s than they did in 1970, the question is "how much".
-- As for the meat of the article, a few statements from classical economics.
* If students can't pay their college costs, then they won't: Herb Stein's Law.
* Failure of students to pay will mean that lenders won't lend, unless they are stupid like the Federal Govt. and have some political purpose like the Federal Government, of increasing the number of minorities who have higher education.
* If students can't find jobs with a college degree, then the next cohort of students is less likely to go to college. And something is wrong with our economy. I was just reading a Common Dreams article about 'Less is Better'. That would include fewer people, less time, invested into higher education. If we can't solve the economy problem of employing enough people who only have a high school education, and improving the value of a high school education over what it often times is right now, -->
* That provides an incentive for people to not have kids; to get their loving from pets instead. Which helps the world in a ZPG sense.