Colleges make money whether or not their product delivers, and that's simply not right. They have no incentive to succeed. Because of this reality, colleges are essentially a pyramid scheme. The more members they enroll, success or failure, matters not, the more money they make. A company can't get away with selling you a car and it breaking down the next day. Someone can't sell you a house, only to have it collapse the next day. Someone can't get away with selling you food, only to poison you the next day. Colleges shouldn't be any different and should be held responsible.
People say it's the responsibility of the students, that's wrong, the students paid for a product that hasn't been delivered. It's ludicrous to hand the snake oil salesman a free lunch and blame the scam victims.
If the people graduating from college are not responsible, stupid, unmotivated, and unqualified, then again that's the college's fault for not performing their duties by passing these students. The fact of the matter is the colleges make less money failing people out the first year in, so the colleges profit off graduating incapable students. Morally, this is wrong on so many levels, not only for the people they pass through, but for the bystandards who may become adversedly affected by an unqualified professional being sent through.
Here are a few Hubs I wrote about the subject matter: