5 ms·
Anyone have any idea what the 20 to 50 year implications are for this? I imagine this will crush the economy eventually if millennials cannot pay it off.
by meddlepal 10y ago
Anyone have any idea what the 20 to 50 year implications are for this? I imagine this will crush the economy eventually if millennials cannot pay it off.
- shmerl 10y agoEducation can switch to a system that won't require any loans.
- umanwizard 10y agoCan it? What's your plan for implementing this?
- shmerl 10y agoSame as other countries which do it. Example: https://en.wikipedia.org/wiki/Education_in_Finland https://en.wikipedia.org/wiki/Education_in_Finland
- nice1 10y agoAlso Germany, many others in fact.
- overcast 10y agoWorking to pay for school, like everyone did prior to the Feds getting involved with loaning out cheap money.
- dublinben 10y agoRegardless of how much debt there is, this isn't a bubble. These loans are nearly impossible to discharge. Recent graduates will be on the hook for this debt whether they want to be or not. The largest negative effect of all this debt will be the drag it puts on consumption. Young people are already delaying major purchases like cars and houses due to all their student debt.
- flukus 10y ago> Regardless of how much debt there is, this isn't a bubble. Unless people start to die before paying off their loans.
- devoply 10y agoWith automation how are they expected to even service that debt, much less pay it off? If you can't pay minimum interest on the debt and it keeps growing. What then? Will you have to service the debt out of your guaranteed income?
- VickBear 10y agoBy automation you mean in many, many years, right?
- devoply 10y agoAutomation will start causing job loss by the millions in 5 years. So no I mean it's a problem creeping up very quickly. Initially it will be less qualified workers, but the fact is that many university grads, say art majors, end up in less qualified jobs (if they exist).
- joshkpeterson 10y agoCareful, there's an art major who does software development for a living replying to your comment right at this moment :)
- deleted 10y ago[deleted]
- Retric 10y agoPeople can often just leave the country. US law makes it hard to discharge, non US law is another story.
- 10y ago
- maxerickson 10y agoProbably pretty minimal. The median debt isn't astronomical, it's something they will be able to manage. (Hard to find a solid number, seems to be around $40,000 for new grads. This is a lot of money, but those grads are typically going to earn quite a lot over their career)
- paulmd 10y agoEventually education reform will be passed and costs will be decreased close to zero effectively. Any remaining student debt will likely be forgiven. The generation or two who paid off their student loans instead of making a down-payment on a house will be screwed.