cashinmattress Posted May 18, 2011 Share Posted May 18, 2011 link The explosive growth of student loan debt is troubling for a variety of obvious and not so obvious reasons. More needed attention is being drawn to higher education and questions are being sharply directed at the way college education is financed. The bubble in higher education has similar parallels to the bubble experienced in housing. Owning a home is a good thing and has been part of our national identity for close to a century. Yet during the mania very few questioned the method of financing this otherwise solid financial investment. It all depends on how you finance the purchase. The same dilemma is occurring with pursuing a college degree. Very few will argue that going to college is a bad idea. Knowledge is power as we all know. Yet is it necessary to go to a school just because they added a $10 million Olympic sized pool? The additional bells and whistles are similar to the peak bubble days in California where sellers tried to convince buyers that the new whirlpool and granite counter tops added tens of thousands of dollars in value. Value by what standard? Most of the mania was fueled by easy access to debt greased by Wall Street and backed by the government. The fact that we are approaching $1 trillion in student loan debt is staggering.more... And thanks to the American's pal, George Bush, the loophole for releasing student debt via bankruptcy was closed. Yes, you can write off your mortgage, credit cards, personal loans, lots of stuff, just not your student debt. Goes with you to the grave. I reckon there are quite a few yanks who will rue the day they signed on for a bachelors in one of the many pointless areas of 'higher' education. Quote Link to comment Share on other sites More sharing options...
OnlyMe Posted May 18, 2011 Share Posted May 18, 2011 The UK is dying to go further down the same route. Both countries have a chronic disease and economically speaking it is a terminal one. Quote Link to comment Share on other sites More sharing options...
cashinmattress Posted May 18, 2011 Author Share Posted May 18, 2011 The UK is dying to go further down the same route. Both countries have a chronic disease and economically speaking it is a terminal one. Oh I don't doubt it. There were around 500,000 people going into Uni last year. About 450,000 of them are in pointless education, the other 10% are in vocational degree courses which will likely lead to jobs. Those in the soft sciences had better end up with 1-2 minimum at masters levels to have any chance. Loans for drinking money, mobile phone plans, spring breaks to the canaries for sex and watered down drink offers, maybe some school books and writing implements, will have to paid back. Quote Link to comment Share on other sites More sharing options...
Injin Posted May 18, 2011 Share Posted May 18, 2011 Oh I don't doubt it. There were around 500,000 people going into Uni last year. About 450,000 of them are in pointless education, the other 10% are in vocational degree courses which will likely lead to jobs. Those in the soft sciences had better end up with 1-2 minimum at masters levels to have any chance. Loans for drinking money, mobile phone plans, spring breaks to the canaries for sex and watered down drink offers, maybe some school books and writing implements, will have to paid back. ...in hyperinflated currency. Quote Link to comment Share on other sites More sharing options...
cashinmattress Posted May 18, 2011 Author Share Posted May 18, 2011 ...in hyperinflated currency. Well, that may be so. Won't make a lick of difference if your pay packet is also hyerinflated. Sadly, that won't be the case for probably 95% of the population. Quote Link to comment Share on other sites More sharing options...
Injin Posted May 18, 2011 Share Posted May 18, 2011 Well, that may be so. Won't make a lick of difference if your pay packet is also hyerinflated. Sadly, that won't be the case for probably 95% of the population. Debt which cannot be repaid won't be. Quote Link to comment Share on other sites More sharing options...
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