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You're correct that cost is a barrier in many aspects of life. It always has been and always will be. Anything of value has a cost associated with it. Call it the opinion of an American vs a European socialist, but I'd rather see the costs directly rather than having them hidden.
I could have had free health care and free education, but based on your tax rate compared to mine, your "free" health care and "free" education are much more expensive than mine.
By ensuring higher education is more widely available to the general population those socialist countries are ensuring something that America used to view as an ideal, equal opportunity. If an 18 year old can not go to higher education due to financial reasons, her/his opportunity for success is lower then the one who can. What happens to that individual in school or after is entirely up to that person, but he/she did have the opportunity to succeed