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Agreed, the whole thing is a death spiral separating the population... Easy loans lead to higher tuition... ...higher tuition leads to more debt on graduation.
by bretpiatt 17y ago
Agreed, the whole thing is a death spiral separating the population...
Easy loans lead to higher tuition...
...higher tuition leads to more debt on graduation...
...more debt on graduation leads to a need for a higher salary...
...the need for a higher salary increases the prices companies charge for goods and services delivered by college educated...
A prime example everyone is familiar with is the rising cost of healthcare.
If this continues we're going to stratify the income in the US so far we'll end up with an aristocratic and peasant class of citizens and the only way the non-college educated peasants will be able to live is through indentured servitude to a "lord or lady".
- incomethax 17y agoIsn't that already the case? Just replace "lord or lady" with the name of a large multi-national corporation (Wal-Mart for example).
- deleted 17y ago[deleted]
- zach 17y agoVery good description, and I'd even say there are some problems missing from it. Actually, increased salary demands due to student loan balances lead to: - exacerbated income disparity, since only the elite are hired, which makes the job market extra-tough on all but the most capable new graduates, as well as - higher professor salaries, since professors and potential professors in the field have attractive non-academic options, but also - more willingness of students to take on more easy loans, since "everyone knows" that lawyers, etc. make so much money that it's okay to take on a lot of debt.