Friday, February 12, 2021

Paying the college loans for those who signed for them

I worked at the local public library and the drug store when I was in high school.  In summers and during the school year in college I worked various part time jobs--usually the college library.  My parents provided most of the cost going without since 3 of us were in college at the same time. Dad would have considered it an embarrassment to take money from the government. Then when I got married during my senior year, my parents provided me with a loan which we paid back in a year or two. 

College education costs became a huge bubble since those days (1960s), worse than the real estate bubble of 2007-08, and mainly because the government flooded the colleges with loan and grant dollars. The colleges and universities just raised tuition and built more buildings and cut back state support. Academe has continued that bad planning by luring young people away from those colleges that could have benefitted them in order to meet federal requirements for minority enrollments. And with slight of hand academe "counted" foreign students whose governments were paying for their educations in their minority quotas.  The American minority students took on loans they could never pay back and never got those good jobs without the degrees they were promised. This is what happens when we think someone else will pay, and since it isn't the government's money, they just throw it at anything and anyone that moves.

There is no free lunch.

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