And it has never been more unaffordable as the WSJ notes from a new Fed study. "The Federal Reserve has linked rising student debt to a drop in homeownership among young Americans and the flight of college graduates from rural areas, two big shifts that have helped reshape the U.S. economy.The effect of student debt on the economy has been debated in recent years, as the total has soared to $1.5 trillion, surpassing Americans’ credit-card and car-loan bills." And they note how this started in 1965 by making higher education affordable by offering student loans and immediately the cost of a college education began to climb and at rates higher than inflation. How that data shows the college's were merely pocketing the higher tuitions then the students and parents complain about the high cost some more grants and subsidies are created and colleges just up their tuitions. How a tearful student told then candidate Obama about her high cost and trying to afford the ever increasing tuitions and what was candidate Obama's promise? “I will make college affordable for every American. Period,” Reminds me of the "You can keep your doctor. Period. You can key your plane. Period...." but I digress. They note that over the last three decades college cost have gone up 250% while the average family income has gone up only 16%. And can someone please explain why college cost 250% more now than just 30 years ago? And are we doing better and a college education for all? Jason Riley notes in the journal this week "In 1970, about 12% of recent college grads came from the bottom 25% of the income distribution. Today, it’s about 10%." The Fed notes that homeownership is effected by this debt these students are incurring saying by 2014 that translated to 400,000 fewer young home buyers. And now the new crop of Democrats want to just put all those cost on the taxpayers and just give away free higher education. What will happen to the cost spiral there? We already see how over 90% of these college administrators and teachers vote overwhelmingly for the Democrats calling for more and more money and getting more and more money and we the taxpayer have to pay it. The left say we should force the pharmaceuticals to charge less and they aren't even subsidized by the government. Time for the federal government to start cutting back on the money it spends and demanding cost cutting at the schools to continue to get federal funds. https://www.wsj.com/articles/rememb...omised-to-make-college-affordable-11547754038 https://www.wsj.com/articles/fed-sa...housing-market-11547657473?mod=article_inline
It's crazy for the federal government to be in the education business. Big waste of money and it drives tuition up on the students.
College has become more expensive because the federal government provided for billions and billions of dollars in student aid. With all that money available, it’s not surprising colleges raised the cost to attend well beyond the rate of inflation. It’s basic economics.
Have said it for years. I sell an industrial product to manufacturing. If the government sudden said OH THEY REALLY NEED THAT PRODUCT WE"LL HELP PAY FOR IT guess what would happen to my price. I wish one house of the Congress would finally call these college administrators before them and make them explain why their prices have so spiraled way over inflation all these years and why the taxpayer should keep paying it. It won't be a Democrat house because they are so in bed with them between the tuition cost and things like global warming grants and lets prove business is evil grants and government is so good grants and on and on.
And they do while at the same time shirking their jobs off to "teacher assistants". It's a total sham the academic elitist. OK you studied a subject and now you teach it. Big deal. Go out and risk everything to create a product that changes our lives. Go out and make a successful business that employees people. Go out and build our roads and buildings. Don't expect to get rich being a teacher.
Yeh, the progressives who run the joints are the most intelligent, caring, woke bunch always looking out for the little guy and working for equality of outcomes. Something here just doesn’t jive...
No government intervention in markets for goods and services, mortgages, student loans, gov contracts, grants for green energy or other graft, is ever a good idea. The dirty secret behind student loans is that many educators profit not only from the jacked up tuitions but via the entities that make the loans. One of a very few LW talking point policies I'd -love- to see is making student loans dischargeable in bankruptcy. That would upend the apple cart well and good. Suddenly there wouldn't be blank check loans available for indoctrination junk degrees, and students sold a bill of goods fraudulently would have recourse they don't now have. Yes, the taxpayer would be left footing some of the preexisting loans, but the situation is just growing more out of control year after year in the status quo.
When government gets involved in the free market, it's just like throwing a wrench into a finely tuned machine and stripping all the gears.
Why people continue to try paying off student debt long after they graduate just puzzles me. The only way to make college more affordable without going down the route that Sanders has is to invest in a lot more online education, where there are more one-time costs over continuous costs of tuition. Aside from offering these schools federal funding.
