For graduate school, at private colleges, or to finance living expenses while enrolled as I wrote last week, Senator Warren’s proposal to write off student debt and offer free public college is expensive, regressive, and leaves many open questions about what will replace student loans for the millions of students that use them.
Joseph A. Pechman Senior Fellow – Economic Studies, Urban-Brookings Tax Policy Center
I will be sympathetic to today’s pupil loan borrowers—indeed, I’m outraged throughout the situation. It really is an outrage that the government that is federal loans to students at low-quality organizations even though we realize those schools don’t improve their profits and therefore those borrowers won’t be able to repay their loans. It really is an outrage we know they almost surely will default and have their wages and social security benefits garnished and their tax refunds confiscated, as $2.8 billion was in 2017 that we make parent PLUS loans to the poorest families when. Its an outrage we saddled a few million pupils with loans to sign up in untested online programs, that appear to have provided no work market value. It really is an outrage our financing programs encourage schools like USC to charge $107,484 (and pupils to blithely enroll) for a master’s degree in social work (220 % a lot more than the same program at UCLA) in a field in which the median wage is $47,980. It’s no surprise many borrowers feel their figuratively speaking resulted in catastrophe that is economic.Read More