<p>Your plan would be great for students and parents, but there are fiscal realities which won't allow it. Those out of state tuition dollars are part of what keep the state universities going. The % of costs of state universities provided from state budgets has been going down over the years and the universities have had to find strategies to keep the books balanced. One key strategy involves recruiting out of state students.</p>
<p>There could be more federal funds that might be used for this, but right now the federal government is funding a very expensive war and, even if it were not, I'm not sure if there would political support for this. If you want politicians to support more funding for higher education, then tell the candidates who are running for president, as well as for the House and Senate.</p>