1. The current model is not the only model. The US higher education system is unique amongst Western countries, AFAIK, in having both a very high cost and a large number of private institutions. This could (and probably should, IMO) change.
2. There is not one goal to education. For example, some people get an education to get a job while some people get an education to follow their interests. These are both valid reasons.
3. Education can drive equality or inequality, depending on how it is implemented. The current US system (and the UK system, to a lesser extent) probably drives inequality more than the other way around, but this is not the way it has to be.