Worst Idea Ever” to highlight the main points on why forgiving student loans will be harmful to our economy. Wolfer believes that by allowing this debt to be forgiven we will ultimately be hurting the distribution of funds, macroeconomics, and politics. Wolfer proposes the idea that if we are going to give free money away, why not give it to people who really need it such as high school dropouts. In paragraph one, Wolfer thinks that college students “typically have high incomes and enjoy income growth over several decades”. Wolfer explains that if we give money to people who desperately are in need of it we as a nation will get more “bang-for-your-buck”.…
Many college students believe that they will end up making more money than their uneducated peers. There are many citizens who are unaware that they have the potential to live a world of debt after graduating. Robin Wilson, author of the article “A Lifetime of Student Debt Not Likely”, clearly concludes that student debt is unlikely in the title of the article itself. The real truth is student debt can be highly likely. Although it is easy to agree with Wilson’s conclusion it is easy to see debt in an entirety can also be prevented.…
Students across the country are facing a mounting challenge upon graduation. This challenge is not one that is easily surmounted or circumvented. The challenge is also not limited in scope to one social class or geographical region. The challenge facing more and more students every year is student loans. The loans themselves are not the issue, but rather the excessive amount of debt that tends to follow.…
Although forgiving student loans provide troubled graduates the ability to get back on their feet, the forgiveness of student loans do not provide a cumulative benefit for the entire nation economically, therefore the student loans should not be forgiven. First of all, Justin Wolfer’s “Forgive Student Loans? Worst Idea Ever” Wolfer highlights the…
It’s hard to believe that once upon time, Americans did not have the dreadful worries of finding a way to prepare for the financial necessities for college. Now, college is becoming more of a dream rather than a reality as high tuition rates becomes the number one reason why Americans are not advancing themselves into higher education. In some cases, there are college students who receive full-ride scholarships to the college they desire; however, the majority of those who do go to college do not obtain the same luck. Those students who do continue their education and go off to college find themselves short of financial aid, out-of-pocket cash, and even scholarships. This causes students to resort to taking out a student loan.…
In view of the fact that bankruptcy is not an option for eliminating student loan debt, borrowers are repaying student loan debt long into the life cycle (Miller, 2012). If a consumer allows a student loan to default, the actions taken by the Federal Government may include garnished wages, garnished tax refunds, and a reduction to Social Security retirement and disability payments. These consequences impact the retirement security of those holding student loan debts at this stage of the life cycle. In addition, servicing student loan debt at this stage of the life cycle may prevent additional funds from being saved for retirement. Thus, student loan debt is expected to have a negative impact on the accumulation of financial assets and net worth of…
Most people's life is revolved around just the hopefully I can pay them. That the question they ask every day. Student loans should be forgiven. Did you know that young people are in debt? If you combine all of the debt the everyone owns to loans, and I mean everyone it 17 million.…
A Problem With College There seems to be a problem with college, the quality of education has diminished and tuition costs have grown to new heights. Despite this, many people still choose to get a college education to gain an advantage in their career field. In “A New Course”, Magdalena Kay argues that the reason colleges do not adequately prepare students for their future lies in the curriculum. Teachers take away from content trying to make it relevant and don’t grade students honestly, giving out more As than they deserve.…
Student loan debt is one of the many financial issues that we in America are faced with today. Not only does this debt have detrimental effects on the economy, but it is directly affecting students who would like to pursue an education, but fear the dreaded debt that accompanies it. Graduates are completing school with exorbitant amounts of debt and are being expected to start making payments within 6 months of completing their degree. How are students expected to start living their lives with massive amounts of debt after freshly graduating school? This issue is increasingly important to me because I am one of the students that will have to be dealing with this issue in not too long.…
The plans are so new that many people do not understand how they work nor how well they actually help borrowers. Sophie Quinton addresses how many students take out loans because of the belief that working certain jobs will pay off your loans, which is often incorrect. She concludes that “policy adjustments are needed to ensure that students don’t get too comfortable taking on debt and institutions don’t get too comfortable charging high…
Furthermore, they are set up for students who are more likely to earn enough to pay back loans within recent years of graduating such as those pursuing graduate or professional degrees. The authors then discuss how some policies are causing students to default on their loans, which they argue makes students prone to more future financial setbacks. According to the article, about a third of under-30 aged borrowers in repayment are delinquent on their loans. It concludes with a strong statement acknowledging that there are many different types of proposals to forgive student-loan debt, but stating that they fail to be accompanied by realistic estimates. The authors discuss a compelling argument by using appropriate amounts of credible claims in their article.…
In the essay “Student Loans: Should some indebtedness be forgiven” by Robert Applebaum, the author argues that, like the essays name indicates, because the financial burden that student loans have become, after some reasonable repayment period, legislation should forgive excessive student loans. Applebaum points out that education should be a right and not a commodity. He points out that Americans are overpaying for their education and that there is no connection between the salary expected to be paid upon graduation and the tuition paid. He supports this statement by bringing to light that every other industrialized country has already figured out how to pay for higher education for its citizens. Furthermore, the author suggests that the student…
In today’s American society, the average college graduate leaves college with a whopping $37,172 in student loan debt. Crippled by constant payments, many struggle to keep up with payment plans. On top of that, federal student loans encompass an interest rate, which has a limit of 8%. Because the interest rates are so high, graduates can end up paying double the original loan amount. Coming from a large family, I have had first hand experience with the effects of student loans, and what it can do to a blossoming individual looking to start a new life.…
Recent state disinvestment in public universities has led to tuition increase, forcing students to borrow more than ever before. As a result, over 20% of these students are denied loans for other things, like purchasing a home, buying a car, or starting a business all because student debt has negatively impacted their credit. Student debt diminishes a student’s purchasing power and stops them from being productive members of society and this directly and…
O’Malley continues, “Second, we should cap the monthly payments on students’ loans, so students whose passion is teaching or policing or national service can pursue their dreams without worrying about debt or default.” Well programs have been created that help students pay their student debts and let them focus on their careers. In the article, O’Malley states that “Alone, these two proposals — letting students refinance their loans and capping their payments — would go a long way toward relieving the burden of student debt. They are common-sense policies that would make millions of students better off.” I agree with his statement because this will better students’ lives and make them debt…