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Obama's words clearly single he plans to do nothing, as in recent years the hike in tuition costs have been driven by a decrease in state funding.

So his words, with that unstated fact stated, become:

"If you can’t stop tuition from going up because the funding you get from the taxpays is going down, the funding you get from taxpayers will go down."

Lloyd comments: There is no doubt that recent tuition hikes in the public sector have been driven by decreasing state funding. However, the underlying issue for many years has been that the cost of providing the education has increased much faster than inflation. There was little reason for colleges to control costs when there was lots of money around, coming from both states and the federal government. Obama is just saying that colleges have to get serious about controlling costs if they want to continue getting educational aid from the federal government, which seems to me to be perfectly reasonable in a time of constrained resources. Whether his proposal appropriately takes into account the pressures on tuition caused by decreasing state support is debatable.

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