Sure, people who went through that (ie, independently interested in, was recommended in or could afford it, and succeeded) tended to be more capable people. Let's roughly compare it to becoming an Eagle Scout or a Navy Seal in terms of a generally impressive life accomplishment. Shuffling everybody through the same system is useless, wastes everybody's time and money, and devalues the magic paper gotten in the end.
Many skilled professions require training, and specific training institutions are all well and good. But let's not confuse training to become a mechanical engineer or doctor as being equivalent in an employment eligibility sense to more enrichment-oriented university degrees. The latter being required to get a sales/front-desk/entry-level position is a burgeoning and absolutely needless weight on our entire society. Conflating the former with the more heady University worldview is also odd, and eliminates eligibility for those who would be great in their field but are not that compatible with academia.