Education Secretary Linda McMahon criticized U.S. higher education financing, describing it as a scam that benefits colleges through federal loan subsidies, resulting in skyrocketing tuition and student debt. Despite students graduating with considerable debt and facing a challenging job market, colleges continue to enroll them in low-value programs. McMahon plans to hold colleges accountable, yet emphasizes that a complete overhaul of the educational financing model is necessary, stressing that both students and universities need to have more financial responsibility in the system.
Education Secretary Linda McMahon nailed it: Higher ed is a downright scam. Her Wall Street Journal column last week announcing an end, as of May 5, to President Joe Biden's student-loan repayment pauses and forgiveness plans should force every taxpayer, official, student and parent to rethink the nation's perverse system of financing higher ed.
Colleges and universities call themselves nonprofits, but for years they have profited massively off the federal subsidy of loans, hiking tuition and piling up multibillion-dollar endowments.
Many of the degree-granting programs that qualify for student loans are worthless on the job market. Yet colleges continue to accept students to these programs and encourage them to borrow to pay for them.
The whole model needs to be rethought. For starters, students and, probably more so, universities need more skin in the game.
Collection
[
|
...
]