As OP says, many students graduate and fall into unemployment because they don't have the skills. In our country, many people graduate from school and are unemployed. But as far as I know, most of them have no experience but always ask for a high salary because they think they have spent a lot of money and time to get a university degree, so they don't want to receive a low salary.
Many graduates do not have jobs, but there are also many students who find jobs. This cannot be blamed entirely on education, largely because the thinking of today's youth is becoming skewed about education.
But that is a bit of a one sided presentation of the facts. I can't speak for all countries, but when education is expensive and you take on loads of debt for years, isn't it understandable that you ask for a higher salary than the average person? Low wage levels have become a serious problem in a lot of countries and not only the developing ones. With inflation being high you are almost forced to ask for higher salaries in order to make sure you can pay your bills at the end of the day.
As a fresh graduate, you can only compete with people who don't have a degree or people with the same level as you, you can't compete with those who have graduated and have experience. A degree does not prove that you can do well in the assigned job, fresh graduates do not have some skills, and demanding a high salary is impossible to meet. Meanwhile, a business owner can hire a senior with that salary.
If we are aware that life is getting more and more difficult, and competition is getting fiercer, we should know where we stand, if we can't be better than others, we shouldn't be too demanding. We need jobs, but businesses don't need us because they have so many choices.
I can only agree with what you have said, there is nothing to argue against. But I was referring to this downward spiral that when education becomes more expensive, you take on more debt, which in turn now again becomes more expensive due to rising interest rates, you almost have no choice but demand a higher salary than a couple of years ago. If now the average wage level does not nearly approach inflation levels, the whole situation is doomed to collapse at some point.
What you describe is true and it is a frightening scenario for those who invested half a decade of their lifetime and took on massive debt just to now find out that the job they could assume does not pay a salary high enough to cover their basic expenses.
Switzerland handles that well as non-academic jobs are also well paid and they handle inflation reasonably well. Since non-academic wage levels are very decent, there is always a viable alternative for people who feel academics is not for them but they still want to live a good life. Still though, even if the number of academics increases in Switzerland, they have the gigantic financial service sector seeking talent 24/7/365.
It is a relevant and interesting topic and there is never just the one right way. When people ask you for advice there are many things you can't know in advance. Luck is important as well as you might meet the right person at the right time with the right idea and the will to cooperate with you. You go for the entrepreneurial way, never get a degree and can surely say it was the right choice.
I think Bitcoin is also a great example. It has made many people a millionaire that never expected in 2008 to become a millionaire within 5 years or whatever. Alt coins made many people rich back at the time as well. Who knows how many people dropped out from university after making a fortune with their feeling that this industry is going to be mooning soon.
Opportunities are the variable that you can't perfectly know in advance but that will eventually define your way of life.