Found a really interesting entry at Virginia Postrel's blog about the role of state universities in growing/improving the talent of a state's economy. She links to a USA Today piece by Beth Marklein explaining that state university budgets are eased by out-of-state tuition, yet state residents see rising non-resident matriculation as betrayal. Clearly talent, tolerance, and tuition do not always peacefully co-exist at the state level.
From the USA Today,
"The concern that out-of-staters might be displacing in-state students is being voiced elsewhere, from Florida to Wisconsin to Hawaii, as more students cross state lines to attend public universities.
In May, the University of Illinois, Urbana-Champaign, pulled the plug on plans to increase its proportion of out-of-state enrollment from the current 10% to 15% of the freshman class because the reaction was so negative.
The University of Colorado in Boulder and the University of North Carolina system regularly lock horns with lawmakers over out-of-state enrollment caps. The schools want the caps higher, the lawmakers don't.
In South Carolina, legislators this year introduced a bill to limit to 20% the proportion of out-of-state first-year students enrolled at the flagship campus in Columbia. The bill died, but the sentiment hasn't."
(posted by a non-resident graduate of the University of Michigan)