Is this not rational behavior? If, through grade inflation, the only thing that matters to an employer is what school you went to and that you completed it (the sheepskin effect), then isn't the correct optimization to reduce wasting time on levers that won't make any practical difference in the end?
Sure sure, there's the love of learning and the formation of the well-rounded modern individual, but most people are much more pragmatic than that.
They need to get in, get the piece of paper for the least effort, get a job. Everything they need can be taught on the job or asked to ChatGPT most likely anyway.
A Case Against Education https://press.princeton.edu/books/hardcover/9780691174655/th... was prophetic of this phenomenon years ago.