Is a college degree really worth the expense? A recent study, authored by Vedder, Jonathan Robe, and Christopher Denhart, “used employment data from the U.S. Bureau of Labor Statistics to calculate that the number of college graduates is growing at a rate disproportionate to the number of jobs requiring a college degree,” reports the Chronicle of Higher Education. “They question whether America spends too much on higher education, and ask whether society can afford to subsidize higher education for graduates who end up in jobs they could have landed without going to college.
A more dramatic example can be found at law schools, whose students are burdened with, on average, $125,000 in debt, according to figures cited by Brian Tamanaha, professor at Washington University Law School and author of Failing Law Schools. Continue reading
Student loans from the federal government cannot be discharged in bankruptcy and have severe consequences upon default. For example, upon default the federal government can garnish your wages and your credit will plummet as your loan account is assigned to a collection agency. With these consequences in mind, the Obama Administration has just recently finished its rules for the Pay As You Earn (PAYE) program. Continue reading