Blank checks issued all in the name of education. 60%+ of them shouldn’t be going to college. They would be better off going to trade school or straight to work.
A college ‘education’ is mostly a waste of time, not to mention money. This bubble was created to prop up the Leftist cesspool known as academia.
Not to worry; with the Trillion that we will get from Amnesty, we can use the Taxpayer money to buy the Yewt vote by “forgiving their Tuition Loans” (so the Bankers are not going to lose a dime, as always)
Nothing ever changes.
The student loan bubble was built on the presumption that more socio-political instruction from universities would improve the economy...or something. ;-)
The problem is, how can you tell that the bubble has burst?
Remember that Obama effectively nationalized the student loan program, so the government is effectively the creditor to this foolishness.
All told, there are an estimated 37 million Americans with outstanding debt from student loans, with about 12 million added each year. About $1 trillion is outstanding debt.
So the big question becomes, how much old debt is being retired compared with new debt being added each year?
If there is a major economic downturn, much less of this debt will be retired. Then the question becomes will the US government continue to provide new loans?
From a different perspective, states also heavily subsidize universities, and they could seriously reduce the student loan bubble by refusing to pay for “worthless” majors and classes. Worthless in that they do not result in gainful employment in that field.
All told, if any party to this stops playing the game, the bubble collapses. But this collapse will be quite different from other collapses. Think of it more as a contraction.
The whole student loan scheme is predicated upon kids graduating from college and getting good paying jobs to repay the loans. 0bama has seen to it that THERE ARE NO GOOD PAYING JOBS, so the whole scheme collapses, EXCEPT for the kids of congress, who are "forgiven" and don't have to pay back the loans.