Educational institutions might suffer in a bubble like scenario?

Could colleges really have to close down because of what is opined in the article below?  I hope not.

I often wonder why the governments of Canada and the USA not lessen the burden of those outrageous tuition fees on students by halving them or better still, giving fully free education to citizens.  Instead of sending taxpayers' dollars to countries outside our own, why not allocate a big chunk of it for the educational institutions?  What madness to send money to countries outside your own while your own citizens are in dire need of it ! A more widely educated population might be less prone to crime and better equipped to gain employment and prosperity.  Charity begins at home .... but our politicians think "home" means their own pockets and the pockets of their cronies.

Myles Udland writing at  Business Insider via Yahoo:
Mark Cuban thinks colleges are going to go out of business.

In a clip on Inc.com , Cuban talks about the student loan bubble, which he says will burst and end badly for colleges.
The end of the student loan bubble, Cuban says, will be like the housing bubble, where tuition collapses the way the price of homes collapsed. 
These collapses will put colleges out of business.
Cuban:

"It's inevitable at some point there will be a cap on student loan guarantees. And when that happens you're going to see a repeat of what we saw in the housing market: when easy credit for buying or flipping a house disappeared we saw a collapse in the price housing, and we're going to see that same collapse in the price of student tuition, and that's going to lead to colleges going out of business."

Cuban also talks about the impact student loan debt is having on the economy, saying that people burdened with student loans can't afford to spend money on anything other than the bare necessities....