Right. I would also say that this is more of a symptom of university degrees being a title system, rather than strongly signalling candidates' capabilities.
Credentials vs. education. Credentials are a positional good, education an intrinsic one. We've decided the two should be bundled together, but they don't have to be. Maybe they shouldn't be; that would be a much more interesting conversation to have.
You can buy degrees that turn "work experience" into credits, but nobody respects them, so it's not really worthwhile unless you really just want some letters after your name.
When I see degrees from universities I've never heard of I assume they're diploma mills and look them up. Often they're not but fill a particular niche in learning or circumstance. This is the major failing with the US system IMO, in Canada the word "university" has a much stronger legal definition so there is more trust in it. Similar to what happened to the title "Engineer" when programmers started using it*
*I have a MSc in Software Engineering but I am not a PEng
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