I was more remarking on your criticism of competition as an appropriate way to deal with scarcity and/or try to maximize societal benefit.
Although now that you mention the public/private distinction, the difference in that has been drastically reduced over the years as state appropriations have shrunk as a percentage of overall funding. You mentioned the Big Ten and "championship level in football", so let's look at Ohio State as an example since they won the last championship (and for what it is worth, they beat Notre Dame in the title game). They get only 10% of their revenue via state appropriations[1]. For sake of comparison, the OSU athletic department brought in a little over half that in revenue[2]. Meanwhile, 21% of the school's revenue comes from "tuition and fees", so offering an appealing product in the competitive market of higher education is incredibly important to their long term mission.
Although now that you mention the public/private distinction, the difference in that has been drastically reduced over the years as state appropriations have shrunk as a percentage of overall funding. You mentioned the Big Ten and "championship level in football", so let's look at Ohio State as an example since they won the last championship (and for what it is worth, they beat Notre Dame in the title game). They get only 10% of their revenue via state appropriations[1]. For sake of comparison, the OSU athletic department brought in a little over half that in revenue[2]. Meanwhile, 21% of the school's revenue comes from "tuition and fees", so offering an appealing product in the competitive market of higher education is incredibly important to their long term mission.
[1] - https://cga.ct.gov/2025/rpt/pdf/2025-R-0074.pdf
[2] - https://www.elevenwarriors.com/ohio-state-athletics/2024/01/...