Is UGA stupid?
What a question to ask of a Georgia Tech fan.
Seriously, though... I think that it is ridiculous to make all freshmen live in on-campus housing, particularly if it's taking local kids out of their own homes and making them pay housing costs when mom and dad live 3 miles down the road. My college did this about about a year before I graduated, and it completely backfired. They actually had kids living in hotel rooms off campus for months at a time because they didn't have the housing available on-site!
I can understand the reasons why colleges would want to have all of their freshmen living on-campus, but I just don't think that it's feasible for most schools.