3 ms·
One question I’ve had is if tuition paid via student loans can go to a college endowment. That should end immediately, if so.
by rgrieselhuber 5y ago
One question I’ve had is if tuition paid via student loans can go to a college endowment. That should end immediately, if so.
- brewdad 5y agoTuition money is fungible. If a school gets 20% of it's funding from loans (no idea what the real number might look like) and uses 30% of tuition money to fund their endowment, then the accounting will show that all of the loan money went to fund operations and only cash payments went to the endowment. We've already seen this in every state where lottery funds "go to education." The new money doesn't increase the budget for education, it only frees up some money to be spent on something else.
- rgrieselhuber 5y agoI’m sure that no moral hazards emerge out of that arrangement.