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When I went to Uni there was no real difference in where you obtained your degree.
Some might say that in a growing economy, with a variety of jobs available, and a variety of skills needed, that where one obtains one's degree may be of little consequence. Currently, the number of jobs available worldwide seems to be decreasing as computerization replaces human effort. Therefore employers may be highly selective and may choose to weigh additional factors, such as which colleges/universities a prospective employee attended.

When there are more job openings than there are people to fill them, it is an employee's market. When there are fewer job openings than there are people to fill them, it is an employer's market; There is increased competition among prospective employees, including the attainment of one's education.

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deregulation... had a very limited number of Universities then... have a much greater number now
In the U.S. there is a process of "accreditation". Each institution can have its own mission statement and vision, a diversity which adds balance to society and provides a choice to consumers in a free market. That being said, one of criteria for accreditation is "student outcomes."

As mentioned on a recent thread, accreditation of post-secondary institutions is being discussed until Feb 28, 2015, as is the NACIQI's desire to control that process.
There is value in sustaining the determination of quality as a non-governmental function. In this, we note that a strength of American higher education has been its freedom from federal determination of institutional quality and self-improvement processes.
While "self-regulation" is touted, some may say withholding an institution's Title IV funding may be coercion to "compliance" with changes in accreditation criteria. Much of the accreditation discussion seems to revolve around "student outcomes" which could be interpreted as employment in one's chosen field. In the current economy which is an employer's market, this could create a slippery slope to closing colleges/universities by means of an organized implementation of hiring practices from preferred institutions.