Ideally I would like to see private banks making educational loans based on their assessment of individual student risks. Smart kids studying in-demand fields should see very low rates in a system like that. Under-qualified students would pay more, as would students studying fields with lower earning potential. This has an added benefit of discounting the study of fields predicted to be in-demand, and thus better matching educational choices with what our businesses need.
While this embodies traditional business model, some may say this red-lines students with poor prospects, trapping them in poverty. Meanwhile the current practice of equalizing the cost of student loans is a means of redistribution, with some students/families essentially subsidizing others although this may not be well-known by those who've not thought it through.
A given college/uni may charge a specific price per credit. Some classes may be less expensive to teach (ie English) and some may be more expensive (ie anything with a lab component).
Analogy to a salad bar: if it's priced per-pound, everyone eating a half-pound salad may be getting a different value for their expenditure of the same money... depending upon the mix of ingredients they chose. For example, iceberg lettuce in season may cost the deli much less than other more nutritious ingredients.
