The obsession with 'degrees' (and less risk taking in general) is an unfortunate byproduct of a highly controlled and regulated economy till 1991. Setting up a business, and earning a decent living for yourself (and your extended family most of the times) was extremely difficult before that time. Doing a 'white collar' job was the safest and the most feasible option and the road to that passed through a person being 'educated' (read have a degree). Hence the strong focus on getting a degree, as it was the way to earn your bread.(literally)

Thankfully, things changed from 1991 onwards, from what we call here as 'economic liberalization' (loosening of government controls and restrictions). Add to that more exposure/integration with the 'west' through media/internet and now the attitudes towards business/learning/other activities are changing.

The change will take time, and it's just my guess that the next generation that really doesn't have to worry about the basic issues of life as much would be far more risk taking, and would be doing more game changing things, relative to what's being done today.

I remember one of PG's essay where he mentioned his reasons of why some of the other places cannot replicate a 'Silicon Valley'. If i remember correctly, his take on Bangalore/India was that inherently since the country is still poor, it would be very difficult for it replicate the valley culture at this point at least. (He used an example of uneven steps on a railway station in that essay). His reasoning is not wide off the mark.

But as i said, we are very optimistic, things are gonna get way better, way sooner.