Widened participation in post-compulsory and higher education is generally regarded as a result of the growing recognition of the internal and external benefits of higher education, which are categorised either as a private or public good. However, a question can be raised: once these incentives become less promising or less evident, will a strong demand for higher education still exist? In particular, higher education is the final stage of the educational systems of most countries. University graduates have to face the inevitable challenge of transferring from their universities to the society in general and to the labour market in particular. Once the supposed link between education and economic and social prosperity becomes tangible or broken, what might be the incentives for students to enter universities? Can higher education be seen as a government's endeavour to enhance public good, or is it basically an individual struggle for a private good? This article presents a case study on the massification of higher education in Taiwan. In particular, the effect of massification in terms of individuals' employment and earnings is reviewed critically. First, a broader context of the changing global economy is examined, and the debate on education as a public or private good is discussed. Second, the development of the massification of higher education in Taiwan is briefly outlined. Third, external factors affecting higher education, including unemployment and earnings, are investigated. Finally, implications for higher education in Taiwan and reflections on the value of higher education are reconsidered.