Without the Cold War an intelligent active population is unnecessary. There is no pressure to produce the best and brightest when the most average is required.
There is no impetus for members of the population to take responsibility, to be strong, to lead. They are more useful and mindless sheep.
There is no need to insure schools actually teach, that medical care is necessary and useful.
No need to supply homes and amenities to the average member of the public, who can reside on the street.
The Russians aren’t invading, World War III is not happening, and no one needs an active intelligent population which can confront those in leadership positions.
There is no reason for Universities to be free or affordable. Only the rich should have access.
There is no reason to extend life, hence health care can be hideously expensive.
In short, ‘average’ people are not worth effort.