I'm kind of torn with this argument.
At the heart of it though, schools should always be about education first, and economic prospects second.
If you start paying student athletes, it might open up a can of worms that the NCAA is not prepared for. You will incentivize young kids to attend schools simply to get paid. It will dilute the quality of education the kids will receive, and create an unnecessary professional atmosphere. When you introduce a salary into the equation, then everything becomes performance based. Star athletes will begin to ask why they are receiving the same salary as some dude that is riding the bench all season long. Professors will be pressured into passing students even more than they already now; after all, millions of dollars in potential earnings would be riding on it.
And where would the salary or compensation end? What if students now start demanding that they receive compensation for endorsements, because after all, their "likeness" is being used to generate money for the school? What about jersey sales? What about ticket sales? Again, you don't know how far deep the rabbit hole would go. And where athletes salaries are concerned, the illegal performance enhancing drug market will surely follow. It will introduce a culture of professionalism that will not only dilute the level of education students receive, but the quality of the schools as well. And what about agents? I mean, the students will want to make sure they get the best deal worked out for them? Will it also introduce a market economy similar to professional sports where athletes can now be traded to another school?
It seems like the reasonable and humanist thing to do, but it would be a step in the wrong direction. What the NCAA can do (if they don't already do this) is give the students stipends - or consider increasing stipends based on the amount of money each school generates. After all, since student athletes' study and sports schedule would not permit them to have jobs, they should have a sufficient stipend to take care of their daily needs. Like Olympic athletes (who do not get paid by the way), they can get a bonus based on their performance in tournaments. What they shouldn't do is get paid to the point where they can forego their education entirely.
I think a solution would be to create a post-graduation fund for the students where money accrues for them for each year they stay in college, and upon graduation the money is divvied up and given to them. It would be a win-win. It would give the students an incentive to complete their four-year degree, they would be adequately compensated upon graduation, and the school would have a chance to hold on to their premier athletes longer. Just a thought.