Instructor David Long
29 September, 2012
The College Bubble:
The Combination Of Economic Downturn And Raising Of Tuition Rates
Since we were young, we've been told that with hard work and determination in high school we would one day make it to college. Once there, if we succeeded with graduating, we'd get a degree which would lead to a well paying career that would allow us to invest in our future. With college debt now leading in the nation's debt with the growing amount of 830 million dollars, we are stuck asking. Why is the college-loan system failing? The College Bubble was a term used to explain the effect of the nation's current financial crisis and college tuition constantly on the rise. That is was creating the bubble of debt that will eventually burst. College tuition rates have sky rocketed up 29% in the last 5 years. The average school year for a standard four year, for-profit college now costs $27,293 and on average only 2/3 students graduating due to not being to afford their college education. With the economy in a recession and lossing over 8 million jobs between the years of 07-09, graduates are struggling in the job market, as well as paying off their student loans. (NIA) During the beginning of the recession, many induristes felt the collapsing of the economy. Induristes like the stock market, real estate and even oil! All induristes but two, healthcare and colleges. During this difficult time, colleges are prospering at student's expense and graduates are not seeing the benefit. Only making the expenditure of college and the hard work of graduates, a poor investment. The government has tried to help students with government aid and programs for low-income graduates, but has failed to fix the problem. College's are charging to much for an education that even with government aid and loans, can not be affordable or paid off by a graduate in this struggling economy. College loan system is failing students due...