Want to know what will get the kids out to the polls? Promise them the government will pay off their college loans. Free, free money. The Nanny State continued.
Glenn Reynolds has been posting on this for years now. Borrowing hundreds of thousands of dollars to get a BA or MA is not always such a great idea … especially if you can’t pay it back, especially in a recession. Even more especially if there’s no acceptable return on that investment.
Faced with that reality you might think college kids would rethink their investment. But this clip shows College kids aren’t facing the reality of their choices, instead, they’re looking for a bailout of some kind. I’m sympathetic. But perhaps these kids should click on Instapundit now and then.
BTW, I like the way they booed the conservative student and cheered the woman who says, “We need to help the college students here to pay for school”. Classic. The only one who seems to get it is the law student. “We need to bring down the cost of tuition so we don’t spend our lives paying down our debt.” Well, as Snoopy ™ might say, not if he becomes a successful trademark lawyer like my sister. Heh? (Was that a trademark violation, sis?)
Here’s one of Glenn’s links that perhaps these kids should take the time to read.
The American Enterprise Institute recently published a new study entitled “Is College Worth the Investment?“
The answer is that for many students, the answer is no. Looking at salary data for a wide array of schools, author Mark Schneider finds that graduates of many schools have earnings that don’t justify the cost of borrowing, even at federally subsidized rates.
In my mind, none of this means that a high school student should forgo college for a trade school and quick earnings. What it does say is that students need to begin cost benefit analysis when choosing a school and a major, and before borrowing.
Ultimately, something needs to be done to bring down the cost of college and the quickest way to do that is to eliminate government backed student loans. I’m not the first to say this but I will add that if universities knew that their customers didn’t have ready access to cheap, “guaranteed” cash, they might not be so anxious or willing to raise tuition so quickly. Economic theory dictates that demand, especially in a recession, and at these prices, should be falling, and with it tuition. Instead tuition, with few exceptions, continues to climb meaning that either college is worth the expense so far at any price, or … government interference has interrupted or corrupted market forces in higher education pricing. My guess is, it’s the latter.
But then again … who cares. It’ all coming from Obama’s stash anyway.
PS: Ya know, I never thought I would ever use the names Glenn Reynolds and Chris Matthews in the same post. These are bizarre times indeed.
As my old law firm, Shutts & Bowen, represented United Features Syndicate, it would seem that I have a conflict of interest representing you bro. But, not to worry. Perhaps Congressman Alan Grayson (D.Fl.) will have some time on his hands beginning next January.