One can argue that too many people go to college nowadays, decreasing the level and average value of the graduates.
I can't agree with that statement. The increase in the number of people getting college degrees has not resulted in a decrease in the quality. Because if you compare an average college graduate 40 years ago, with one right now, you can easily find that the latter individual is more knowledgeable. In general, the educational standards have increased by quite a lot.