The higher education bubble is a hypothesis that there is a speculative boom and bust phenomenon in the field of higher education, and that there is the risk of an economic bubble in higher education that could have unintended consequence in the broader economy like student loan bubble that we will discuss today. Student loan bubble is a consequence of higher education bubble.
According to the theory, while college tuition payments are rising, the rate of return of a college degree is decreasing.
Since the 1970s the difference between what those with a four year college degree earn and what those with only a high school education earn has increased dramatically. So a collage degree is seen as an insurance for the