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Who gains most from canceling student debt?

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Re: Who gains most from canceling student debt?

#21

Post by throwaway189262 »

MeinBlutIstBlau wrote: post #12
throwaway189262 wrote: post #7

Earlier quoted context omitted.

Sources? There's a ton of research showing that state funding for colleges has declined significantly as enrollment has increased, accounting for a large fraction of tuition increase. I have trouble explaining this to my parents enough though it's clearly true. They don't like the reality that their votes to "cut taxes" for 30 years has doomed their own children to a decade of debt and not being able to afford a hous…

This is purely speculative but from this source of data showing the amount of people in college now as opposed to pre-guaranteed loan days, I'd agree. http://www.newstrategist.com/wp-content/uploads/2017/01/BB8.... When you give the masses an easy way to go to school and colleges (which are basically educational guilds nowadays) started upping the costs immensely. Colleges knew the writing was on the wall now that st…

These effects are all intertwined. It used to be easy to go to college because it was cheap. It was cheap largely (not entirely) because it was government funded. As more people caught on to how great a deal it was, funding simultaneously dropped while enrollment exploded.

The cost crises led to our crazy loan system.

All speculative, but individual pieces of evidence I've found point to this being likely

Re: Who gains most from canceling student debt?

#22

Post by MeinBlutIstBlau »

throwaway189262 wrote: post #21
MeinBlutIstBlau wrote: post #12

Earlier quoted context omitted.

This is purely speculative but from this source of data showing the amount of people in college now as opposed to pre-guaranteed loan days, I'd agree. http://www.newstrategist.com/wp-content/uploads/2017/01/BB8.... When you give the masses an easy way to go to school and colleges (which are basically educational guilds nowadays) started upping the costs immensely. Colleges knew the writing was on the wall now that st…

These effects are all intertwined. It used to be easy to go to college because it was cheap. It was cheap largely (not entirely) because it was government funded. As more people caught on to how great a deal it was, funding simultaneously dropped while enrollment exploded. The cost crises led to our crazy loan system. All speculative, but individual pieces of evidence I've found point to this being likely

That is actually an interesting way to put it though. I'm curious though if the number of public colleges we have today existed to the extent in which they do because of the loans or because of the government funding.

Also, in a way of looking at it, the loans are essentially pre-emptive taxation. So theoretically the people who we're going to fund these things are taxed directly instead of everybody, even those who don't go to college and get the benefit from it.

Re: Who gains most from canceling student debt?

#24

Post by treeman79 »

throwaway189262 wrote: post #21
MeinBlutIstBlau wrote: post #12

Earlier quoted context omitted.

This is purely speculative but from this source of data showing the amount of people in college now as opposed to pre-guaranteed loan days, I'd agree. http://www.newstrategist.com/wp-content/uploads/2017/01/BB8.... When you give the masses an easy way to go to school and colleges (which are basically educational guilds nowadays) started upping the costs immensely. Colleges knew the writing was on the wall now that st…

These effects are all intertwined. It used to be easy to go to college because it was cheap. It was cheap largely (not entirely) because it was government funded. As more people caught on to how great a deal it was, funding simultaneously dropped while enrollment exploded. The cost crises led to our crazy loan system. All speculative, but individual pieces of evidence I've found point to this being likely

I argue it was cheaper because colleges were more efficient.

Easy money leads to bloat.

100-200k a year is not a sane cost for most degrees.

Shifting who pays it hides the problem and makes it worse.

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