I agree... I we have loan availability competing with reasonably priced tuition.
We need some sort of third party loan worthiness appraisal system that caps the amount someone can borrow for tier 1 vs tier 2 vs online vs cosmetology school.
Perhaps the tiers can also be tied into to the payback rate of the major.
So pre med can borrow more than political science majors.
but if uconn students pay back better than dartmouth students over time they can borrow more and dartmouth less.
We need some sort of third party loan worthiness appraisal system that caps the amount someone can borrow for tier 1 vs tier 2 vs online vs cosmetology school.
Perhaps the tiers can also be tied into to the payback rate of the major.
So pre med can borrow more than political science majors.
but if uconn students pay back better than dartmouth students over time they can borrow more and dartmouth less.
Quote from TGregg:
Uhm. . . Jem. Loan programs (as they exist today) are a government subsidy. As any economist (even Krugman) will tell you, government subsidies increase demand which raises prices. The only way to have loans not increase the cost of higher education is to take government out of it and allow the free market to set a price. Then the banks will look at students and tell many of them to go pound sand - they aren't going to fund half a mill for a music degree.
OTOH, that would make many voters unhappy. They think that people who want music degrees and women's studies and 18th century French poetry (kudos to the first one who gets that . . . repeatable. . . reference) and basket weaving and other inefficient degrees should be just as supported as (say) those who want to study microelectronics and computer programming.
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