Which of the following was recommended by the Hunter Commission?

The correct option is: Participation of private enterprise in higher education.

Step-by-Step Explanation:
1. Background of the Hunter Commission: The Hunter Education Commission was appointed in 1882 by Lord Ripon, the then Viceroy of India, under the chairmanship of Sir William Wilson Hunter. Its primary mandate was to review the progress and state of education in India since Wood's Despatch of 1854.
2. Focus on Devolution and Private Participation: While the commission laid special emphasis on the extension and improvement of primary education, it also made crucial recommendations regarding higher (collegiate) education.
3. Promotion of Private Enterprise: To expand the reach of education without putting an unsustainable financial burden on the state, the commission recommended that the government should gradually withdraw from the direct management of secondary schools and colleges. Instead, these institutions should be handed over to private management (local committees or private bodies) wherever feasible.
4. Mechanism of Support: The commission advocated that the government should encourage the participation of private enterprise in higher education by providing financial assistance through a system of grants-in-aid. This policy paved the way for a significant increase in privately managed educational institutions across India.