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Not to divert from the main point of the article, but this is frightening: More than 40 percent of American students who start at four-year colleges haven’t ea

by kosei 12y ago

Not to divert from the main point of the article, but this is frightening: More than 40 percent of American students who start at four-year colleges haven’t earned a degree after six years. If you include community-college students in the tabulation, the dropout rate is more than half, worse than any other country except Hungary. It is astonishing that 2/5 of American students can be saddled with huge debts without having generated the means to repay that debt (increased wages through a college degree).

Balgair 12y ago
Mind that '4 year college' includes a lot of places that are outside of what you may be thinking of. U. of Phoenix is an example that is very predatory in their loans. Also, many bible and other religious colleges may be included and there are a lot more of those that you'd think. The reasons for dropping out are also complicated: Having a baby, family health problems, personal health issues, mental health, debt from other sources, plain not wanting to continue anymore, drinking or smoking in the dorms, getting engaged (at BYU they say 'ring by spring or your money back') , etc. As with any population, there are a lot of circumstances. Still, I agree with you, the debt incurred here is unsustainable, especially as employers see a degree as a basic test for employment more so.
prostoalex 12y ago
If you compensate schools for enrolling as many students as possible and don't penalize them for enrolling (and subsequently failing) unqualified candidates, schools will enroll as many students as possible and subsequently fail unqualified candidates after squeezing their LTV (lifetime customer value). "According to USA Today, the University of Phoenix's Detroit campus has a graduation rate of only 10%, but a student loan default rate of 26.4%.[38] A 2010 report found that the University of Phoenix's online graduation rate was only 5 percent." http://en.wikipedia.org/wiki/University_of_Phoenix http://en.wikipedia.org/wiki/University_of_Phoenix
maxerickson 12y ago
They aren't necessarily getting saddled with huge debts. I think taking one semester counts as starting (so many of the 4 year college students will have a few thousand dollars of debt, the community college less; I'm basing some of that point on lower level public colleges in my area that charge less than $5000 a semester for tuition, of course many will still pay more than that).

by kosei 12y ago

Balgair 12y ago

Mind that '4 year college' includes a lot of places that are outside of what you may be thinking of. U. of Phoenix is an example that is very predatory in their loans. Also, many bible and other religious colleges may be included and there are a lot more of those that you'd think. The reasons for dropping out are also complicated: Having a baby, family health problems, personal health issues, mental health, debt from other sources, plain not wanting to continue anymore, drinking or smoking in the dorms, getting engaged (at BYU they say 'ring by spring or your money back') , etc. As with any population, there are a lot of circumstances. Still, I agree with you, the debt incurred here is unsustainable, especially as employers see a degree as a basic test for employment more so.

prostoalex 12y ago

If you compensate schools for enrolling as many students as possible and don't penalize them for enrolling (and subsequently failing) unqualified candidates, schools will enroll as many students as possible and subsequently fail unqualified candidates after squeezing their LTV (lifetime customer value). "According to USA Today, the University of Phoenix's Detroit campus has a graduation rate of only 10%, but a student loan default rate of 26.4%.[38] A 2010 report found that the University of Phoenix's online graduation rate was only 5 percent." http://en.wikipedia.org/wiki/University_of_Phoenix http://en.wikipedia.org/wiki/University_of_Phoenix

maxerickson 12y ago

They aren't necessarily getting saddled with huge debts. I think taking one semester counts as starting (so many of the 4 year college students will have a few thousand dollars of debt, the community college less; I'm basing some of that point on lower level public colleges in my area that charge less than $5000 a semester for tuition, of course many will still pay more than that).