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Finally beat cancer
(sh.itjust.works)
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this post was submitted on 25 Apr 2024
1957 points (95.4% liked)
Comic Strips
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Comic Strips is a community for those who love comic stories.
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Sure, once it becomes clear that students being debt-free on graduation is a benefit to society, I'm sure voters will scramble to wipe out student debt! That's why baby boomers, who graduated with very little debt, are such staunch opponents of heavy student loans! /s
Once the pressure is off millennials and gen z, you'll be able to watch the issue drop right out of public discourse. The focus will shift to housing costs, or health care, or some other topic that directly affects them. That's just how politics works, especially in the US, where the constant gridlock in congress means that things only get done in a crisis. If you think we young people are just better than the boomers, and we wouldn't forget to go back and fix the root causes even though we're not immediately affected anymore...you're in for disappointment.
If the goal is to help young people graduate with less debt, randomly forgiving large loans has got to be the worst possible approach. That only encourages educational costs to rise, and encourages students to take on ridiculous debts, and thus ends up transferring taxpayer money directly to schools and banks--and the more outrageous the loans and charges of those schools & banks, the more taxpayer money they get. That is legitimately a crazy way to solve the problem! As I said, it's like giving a drug addict a bunch of heroin. Surely these businesses won't want even more money, right?
So what do you do instead? Well, just off the top of my head: cap student loans. That's what Canada does. I applied for a student loan when I went to school there, and I didn't get to pick an amount. Based on where I was living and the school I was planning to go to, the government just said: "Okay, here's $N". It wasn't that much, something like $6k per term (in the late 00's).
Since students in that case won't have access to arbitrary bags of cash, schools that actually want students will have to, you know, lower prices and compete. So my tuition was something like $4-5k per year, not $20k or $80k. I graduated with something like $50k in debt, which I paid off in a few years.
That would be a reasonable first step. Do that first, while you've got the political support, and then forgive student loans. Don't do that first!