> Making it acceptable to default on or get bailed out of debt (whatever the source) is a recipe for financial ruin for us AND our children. One can argue that

> Making it acceptable to default on or get bailed out of debt (whatever the source) is a recipe for financial ruin for us AND our children. One can argue that those who pay off a $250k college loan to a small liberal arts college are creating a moral hazard for loan issuers and college adminstrators who keep jacking up tutition. The article proposes that if everyone were to default, educational costs would be returned to a more rational level. Personally, I think that the cost of college education will continue to increase to a significant fraction of the value of the college education, to somewhere around half a million dollars. This is basic economic theory, and will result in fewer students finishing college, and a continuing increase in crushing debt.