I really don't get why the USA does this.

In developing countries it's understandable that the state can't pay for education, but in a first world country (at least in the cold war era meaning) it's insane that education is FOR PROFIT.

In Europe the countries don't pay for education out of pure idealism. Educating a large percentage of the population is needed for a functioning and stable democracy (that hopefully doesn't fall for populism, although we're currently fighting with that too, still far better than the USA's Trump cult) and especially needed for staying internationally competitive in the long term.

Just a few days ago I've paid my fee for this semester, studying at a well known university (not worldwide but at least in my country and neighbouring countries) with a good reputation: 24.70€ (27.3$). I could also pay the same at an internationally more known uni but they're pretty similar quality-wise, the other just is in a bigger city = has more students = publishes more.

For international students from non-eu-countries it's ~750€ per semester, still not that much.