Does the why materially change what new market entrants experience? Right now a good chunk of High School students assume a college education will be necessary to get any sort of good job, unless we can reverse that conception[1] college will remain an assumed necessity for most folks.

I don't disagree at all that it's mostly BS, but, much like the stock market, it is functioning primarily on the social valuation - and currently degrees are seen as close to a necessity to enter the job market.

1. The only thing I've seen on this front is some advertising for trades work which can pay equal or better to non-SF software engineers.