Recommended: Consequences from the financial crisis of 2008
He structures his essay to make a valid argument. The formation of his essay is a preview of what will be discussed in detail. He begins his argument from an economic perspective, pointing out that the national Bureau of Labor Statistics data is incorrect because it under-predict demand for college educations. He shows his audience that the BLS predictions do not come close to what actually happened in the economy. For an example, the Bureau undercounted the number of postsecondary educated workers by about 17 million in the year of 2006.
Adam (2012) acknowledge that the majority of the public felt that getting a college degree was not a good value for money (p. 2). “For example, 57% of those surveyed said they did not get good value for their money with higher education, and 75% said that college is too expensive for most Americans” (Adam, 2012, p. 2). There is interesting tension in the publics opinion in regard to college. Many college presidents have noticed a number of trends in higher education, especially the rise of student loan debt. “In addition, the majority of presidents (52%) said that college students study less now than they did 10 years ago” (Adam, 2012, p. 1).
Student loans pose as a suitable way out of this issue as it provides a pathway for those of lower- or middle-class to pursue further education; however, this puts the individual in serious financial debt. The author effectively suggests that since the individuals who choose to pursue higher education will ultimately use that knowledge to help their society then society should realize the value of education and fund any associated costs. Everyone should have fair financial access to post-secondary education so that it is not deemed a “luxury good”. All individuals ultimately have the same cognitive competencies therefore one individual should not be restricted to certain “lower class” profession solely due to financial
“As college students head back to the classroom this semester, a harsh reality confronts them - the rewards for the time, energy, and money that young people put into college are less than they were a decade ago”(Source C). Young college graduates have seen wages, deteriorate. This lack of wage growth has been surprising to those who have read about the ast unfilled need for college graduates. After gains in the 1980s and 1990s, hourly wages for young college graduated in 2000 decreases. For young college-educated men in 2000 hourly wages were $22.75, but almost dropped a full dollar $21.77 by 2010.
“Poverty must not be a bar to learning and learning must be an escape from poverty” this was said by Lyndon B Johnson in 1964 and the problem he was addressing back then, has grown and become far larger and more destructive. The average Canadian student acquires 27,000$ of debt trying to earn what in our society today is necessary, to live a safe, happy and fulfilling life. Without higher education you are not likely to be able to do what you want with your life. Within the last two decades university prices have doubled and along with it so have interest rates. This enforces and maintains the trend of the rich staying rich and the poor staying poor; because of the high price less wealthy people are unlikely to be able to afford university and get a good job.
This essay will overview the accounts of multiple experts concerning student loan debt, including how it affects the economy, and possible solution to student debt. Included in the experts are Dave Ramsey, Beckie Supinao, Hardeep Walia, and Allison Linn. Student loans begin back in 1965 with the Federal Family Education Loan (FFEL) program, and have since grown to what it is today. With more and more student taking out loans in order to get an education, some experts have begun to call the situation a crisis due to the amount of money being borrowed, but there are some who believe that the amount being borrowed is not so much of a crisis as others have stated. Although some may disagree, most experts have similar ideas on solutions to the crisis,
Ana Lucia Urizar, author of the article titled We’re Being Punished by Crippling Student Debt presents the argument of Student debt and the importance of remedying this topic otherwise face future detrimental effects. Urizar provided statistics suck as the average amount of loans in dollars the class of 2015 had taken out. Ultimately, Urizar’s main argument is that something needs to be done about the exorbitant cost of attending college because it is impeding graduates’ careers, standard of living and ability to fully engage the economy. This argument does well providing strong statistics found through credible sources such as The Wall Street Journal, however, the article failed to provide a counter-argument or different viewpoint regarding
Chen and Wierderspan begin the journal exploring the declining amount of grants and loans in the total aid given to undergraduate students. This decline of grants and loans has increased the demand for students to borrow money. Increasing student loan debt calls for examination about the quality of life and economic stability for students after college. The amount of student debt is explored in alliance to college graduates ' earnings where policy factors like grants not being able to keep up with the rising prices of colleges and the increase of college graduates obtaining part-time jobs. Ethnicity differences are also considered in the variation of student debt among students.
Student loan debt has been a big issues for a while now which is caused by the high price college tuition that has more than doubled in the past fifty years in the United States. According to figure 1, in the past five years alone the tuition price has increased an average of 11 percent (see appendix). With the serious rise in tuition many students have taken out loans which means that more and more graduates from college are not only leaving with a diploma but also with debt. "7 in 10 college seniors graduated in 2012 with student debt, which on average was $29,400" (Lundberg 1). 70 percent of all the graduates are already in debt stepping out of college and moving into the real world trying to start a career in society for the first time which means that they will be starting in a hole and will have to work much harder to dig themselves out.
Since tuition has risen 3 times higher the rate of inflation in the past 10 years, this increase a student’s chances of not being able to afford higher education and also gives them a better chance of accumulating debt post-graduation. Some people think that the college education they acquired did not fit the amount they paid for it, even if they pulled out loans or were an ideal candidate for a scholarship. This is a scary fact because higher education can determine if you thrive
Loans allow receiving a college education seem like a smoother process considering that such a hefty amount to pay is divided so that it can be paid for in moderation. Despite the fact that it’s split into many payments, it’s still a large quantity all in all so unless indebted students aim for high income jobs, there would many years of difficulty to come after college. For this reason, undergraduates make it their goal to go after jobs which would prevent them from being constantly pressured to pay off debt. Thus, student debt is both a crisis and a reason to encourage persistence towards greater ambitions (Hillman, 41). It is a tremendous thing when a student seeks to be financially comfortable or even rich in the future but not when it is for the wrong reasons.
Hourly wages are dropping and “it will likely be many years before young college graduates-or any workers-see substantial wage growth” (Source C). Since wages have dropped it is becoming pointless to get a degree due to the amount of debt and stress caused. Even though, we need to learn, higher education is becoming a risky
Because banks allotted sub-prime mortgages to people who could not originally afford a mortgage, and then sold those mortgages to private companies, people began to default on their loans, and they lost their houses, jobs, and overall hope of a better life. This created a bubble economy in the housing market, and America is still experiencing the effects of the financial crisis today. After the crisis displayed the faults of capitalism, many citizens have come to the conclusion that capitalism is not the superior economic system. One of the major reasons young Americans are beginning to lose faith in capitalism is due the increasingly high cost of college education, and the debt students are in, even years after graduating. This debt is seen almost everywhere,“The college graduates you know are drowning in student debt, working for minimum wage, or toiling in unpaid internships,” as mentioned in,“Why
Students can't pay back loans for many years. Then, as a domino effect, there is more debt. Middle class parents , are caught in a tight web because they can afford college on paper but in reality, have no money left for retirement and receive no financial aid. The cost of college has escalated out of control and the cost of college grows faster than the rate of inflation. In order to cut the costs of my education, I plan to work part time and contribute some of my earnings to my education.
There is many people that go to college, but because of the cost they don't get through college. The elevated costs of college cause not only students to struggle paying for college, but also to struggle financially paying for college when they are done. In many cases, after graduating, young adults who don’t find a job will become poorer, increasing the gap between the rich and the
