Federally subsidized student loans charge the same interest rate regardless of the student's major or academic record, effectively giving the largest subsidies

Federally subsidized student loans charge the same interest rate regardless of the student's major or academic record, effectively giving the largest subsidies to students with poor academic records majoring in subjects that are not rewarded in the job market. This does not make sense and would not happen in a private loan market where lenders bore the cost of defaults.