its a case by case basis, tbh, but yeah i agree its moronic for people to overspend on private schools, for example. as an example that hits close to home for me... the cliche choice of good undergrad schools in the LA area is UCLA vs USC.
USC's annual tuition is something like 4x UCLA's. it drove me nuts when people got into both, and decided to go to USC (with loans!!). i mean sure if your parents have deep pockets and can put you through either, then by all means.
or besides public vs private, choosing the right major/degree is important. or those "professional students" who somehow are enrolled for like 6-7 years with nothing to show for it. tha are they doing
... i worked at the student call center at UCLA and there was this one dude who said he had been enrolled in the undergrad for 8 years and then was complaining about money. its like... dude.