Negative Essay On Student Loan Crisis

Student Loan Crisis The choice to attend college is one that has increasingly become solely about whether a family is able to afford the cost of college or not. When deciding where or if one should attend college, there are a number of factors that play an important role. For example, one must think about cost of tuition, travel expenses, living arrangements, food, and many other necessities. In today’s economy, most families are not able to afford these expenses; therefore, students turn to student loans and scholarships. Scholarships are given to the student based on academic success, race, religion, athletic ability, and numerous other reasons that causes the student to stand out above the rest. In opposition to scholarships which do not

On one side of the argument, people believe that the government should not bail out student loan lenders. Stephen Burd says, “We think it would be a major mistake for the U.S. Treasury and Congress to provide bailout funds for private student loan providers—especially, without giving the borrowers of these high-cost loans better consumer protections” (1). Mr. Burd represents the side of the argument that does not believe it would be beneficial to the economy if the government rescued those with student loan debts without calling for stricter regulations on the persons receiving the loans and how much is being given. He later states, “To be clear, we oppose a private loan bailout. But if one is to occur, the government needs to insure that it is not adding fuel to the fire, and encouraging private loan providers to continue harming students and borrowers” (Burd 5). Student loans cripple many students after graduation because their loans are being handled poorly by the loan

Burd, Robert Applebaum says, “Student debt—perhaps as high as one trillion dollars—is responsible for holding back many American workers. Furthermore, this debt is putting an additional strain on the US economy…By forgiving that debt, the government will unleash the purchasing power of these workers, who will then be in a better position to contribute to a US economic recovery” (1). He believes that pardoning student loans will boost the economy because those previously weighted down with student loans will be free to spend and invest in the US economy. He believes that students are being held back from their potential because they are so consumed with student loans that they are not able to help stimulate the economy which is creating a generation of people who are at a deficit themselves. One of the major issues he addresses is tuition saying, “As tuition rates have soared, the very same degrees that now cost nearly five times the amount they did just a few decades ago are worth significantly less in today’s decimated job market” (Applebaum 4). By addressing the soaring cost of tuition, he opens the curtain on the root of the