This Is Why You Have Crushing Student Debt (It Ain’t Capitalism)

I have written before about student debt and the federally induced student debt bubble. It used to be that many people could indeed “work their way through” college and emerge on the other side with an undergraduate degree and a future that was still devoid of debt. Those days are long gone for most people in the middle class.

Huge sums of federal (fiat) money have poured into the system and as such, just like during the housing bubble, have sent prices (tuition) skyward.

Somebody is making money off of your indentured servitude.

This video explains the situation nicely.

2 comments
Naturalist Bent
Naturalist Bent

State colleges and universities aren't horrifyingly expensive... far more aligned with rate of inflation.  This video gives (naturally)a most extreme example.  A huge part of the problem is, the privatization of higher education, (DeVry, Phoenix, etc. etc.) A for-profit model... people making money off your tuition?  hmmm...  These schols also lack scruples, will accept anyone regardless of ability to pay or transcript records.  Very predatory recruitment methods too... They take government money in the form of Pell grants, and subsidized interest on loans (and of course, loans for which the students (and/or their parents) are hung with the responsibility).  They then provide education of questionable quality (often not meeting the accreditation needed for various licensing, etc.)   The presence of these low quality, high cost entities in the education market, makes it harder for other universities to offer state and federal grant money to keep quality students out of debt.  Naturally, this is not an ideal situation, as the tuition costs at colleges and universities are pricey, but as I say, not nearly as pricey as the "for profit" models... (they have to please shareholders, and their funds do not go back into the education).  See PBS Frontline's College, Inc.  (watch online for free!)

G scopelabs
G scopelabs

the beauty of only making it thru most of 8th grade kept me outta debt early on lol -g