Generate text that refutes this claim: Alternative- and more efficient- methods of funding universities are available  There are a number of viable alternatives to a graduate tax as a means of paying for Higher Education: Full state funding operates in many EU countries as part of an extensive and popular welfare state paid for out of general taxation; the value the state clearly places upon Higher Education has made it a common aspiration across all social classes. Other countries make individual students pay for all or most of the cost of their university education, which is widely seen as an investment in increased future earning potential. In the USA this has produced very high levels of enrollment and broad access to higher education as motivated students readily work to pay their way through college. Most also take out commercial loans, which are later paid off once the student is in employment; unlike a graduate tax these repayments are not open-ended and will one day be completed. The cost of educating a student to degree level varies widely both between and within countries, showing clear room for efficiency savings to be made in many institutions, perhaps through some focusing solely upon teaching rather than research, or by academic specialization.
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The alternatives to a graduate tax are worse: Full state funding encourages many without clear motivation or ability to enter university, leading to high dropout rates, while removing incentives to complete courses in a timely manner. The USA has a philanthropic culture absent in many other countries, meaning private colleges have large endowment funds offering a very large number of bursaries and scholarships to poorer students. Nonetheless, the individual states do fund universities and few students pay the full cost of their higher education. Elsewhere in the world the absence of state funding tends to limit access to university to the children of a prosperous elite. Even in the USA students from some ethnic minorities are much more reluctant to take on high levels of personal debt, and are therefore very underrepresented in higher education. The USA’s high level of personal bankruptcy is linked to the high levels of debt built up while at university. A graduate tax then can be seen as a happy medium between the two extremes of Full state funding and No funding whereby the student pays for the benefit of having a higher education only when they are fit to do so.