Posted on 06/20/2014 11:49:07 AM PDT by SeekAndFind
Screenshot via Inc.com
Mark Cuban thinks colleges are going to go out of business.
In a clip on Inc.com, Cuban talks about the student loan bubble, which he says will burst and end badly for colleges.
The end of the student loan bubble, Cuban says, will be like the housing bubble, where tuition collapses the way the price of homes collapsed.
These collapses will put colleges out of business.
Cuban:
"It's inevitable at some point there will be a cap on student loan guarantees. And when that happens you're going to see a repeat of what we saw in the housing market: when easy credit for buying or flipping a house disappeared we saw a collapse in the price housing, and we're going to see that same collapse in the price of student tuition, and that's going to lead to colleges going out of business."
(Excerpt) Read more at businessinsider.com ...
witte hall room:
Today's Ogg Hall
I think it’s great to have an interest in some exotic part of education, like Russian art history or whatever. The thing I’ve never been able to figure out about such interests is why does one need to go to a formal school to learn that stuff?
You only have to pop down to the local library and take out books, or pay $8 bucks to attend a lecture. There is also more information on the internet than one could ever use on whatever interest one has.
Most eighteen year old kids don't understand what a burden repaying a loan can be, since most of them have never earned a single honest dollar in their lives.
Exactly right. What sensible lender would give someone an equal amount of money to pursue a chemical engineering degree or a history of dance degree? If college loans were a free market then lenders would be checking your transcripts and potential even more diligently than do colleges.
“Serious question, why does a pharmacist need any degree, much less an advanced? “
To protect the pharmacy from lawsuits. One doctor prescribes drug A. Another doctor prescribes drug B. A and B together are lethal. The pharmacy gets sued. (Although, I get one drug from Canada and one from Costco. They don’t talk to each other.)
Also, if you give the wrong drug to, say, a diabetic, you’ll kill them. A pharmacist is also expected to tell everybody what a drug does and how it works. So, it’s also for customer expectations.
But, mostly, it was a way for schools to suck more money out of students and states to require more paid certifications and tests.
My daddy was a pharmacist who had no degree. He took a test right after WWII to get his certification. I think it was associated with the GI Bill, but I am not sure. Anywho, he was the only person to ever pass the test or maybe there was one other person who passed. They discontinued the test because it was so difficult for someone to study all of the materials and to also have hands on learning. Daddy had worked at a pharmacy prior to the war, so he was an apprentice of sorts. Back then, pharmacists did more than count pills. Actually, daddy was still mixing drugs for doctors in the late 80s. He also took care to know what his customers were taking and what customers could not take what drugs among other things. I was at the drugstore one day when he called a physician and asked the doctor to change a customer’s prescription because the one the customer had would kill him. The doctor was grateful to say the least. I wish I knew more stories about my daddy. He was 53 when I was born and passed away when I was in college.
I stayed in a dorm at Oshkosh and it felt like going back in time to the early 70s when I went to EAA last year.
As the parent of a rising college junior, I say pop the bubble. My daughter is a double engineering major at a top school. She works. I work. She saves. I save. We pay 100% of all her tuition and fees in cash. CASH! No strings attached. AND, this summer, she is working at an internship and making a higher wage than many of the adults I know. No, it’s not easy, but it can be done. I’m tired of the blood suckers out there who game the system, study crap, and try to tempt her away from doing the right things. < rant off >
Because when it comes to chemistry nomenclature, the naming of chemicals, it only takes one letter change, from an ‘e’ to an ‘i’, which can be completely unnoticeable by a lay person, will have a completely different effect.
And that simple letter change can honestly mean the difference between a benign effect and death.
Really, folks? Do you really think the democrat/communist controlled federal government of the United States is going to let their largest brainwashing machine, the democrat/communist controlled academia complex, go belly up?
Does the phrase “too big to fail” sound familiar?
That’s not a counter; it’s a bar!
Love him or hate him, Mark Cuban is one smart guy...kind of a DB, but if you have that kind of jack you can be whatever you want!
Love him or hate him, Mark Cuban is one smart guy...kind of a DB, but if you have that kind of jack you can be whatever you want!
The student loan scam/bubble will exist as long as there are taxpayers.
Look what I missed out on all those years in undergrad when I commuted to and from school and worked for a living.
Good thing I did, otherwise I’d still have student loan debt to pay! I get nauseous just thinking about what the “tuition” cost must be when you factor in the four-year party pad in that picture.
You're probably right. Bailouts all around, with the excuse for more government takeover
How does one short this market?
Just keep paying your taxes. The college industry will need a bail out.
Re your post 17, you made a good point.
Our country would greatly benefit if almost all of these professors found themselves on the street and not able to indoctrinate students with the Democrat “philosophy” of the role of government and other tenets of liberalism.
The noticeable tuition and real estate price collapses will come with the bond collapses and austerity programs ahead (government layoffs, pension haircuts, etc.).
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.