“Because our government basically vomits money at everyone who applies.”
Stossel is not a fan of government waste and he clearly sees student loans in that light.
He writes at the New York Post:
Why college has become a total ripoff
It’s August. Many young people head off to college.
This year, fortunately, fewer will go.
I say “fortunately” because college is now an overpriced scam.
Overpriced because normal incentives to be frugal and make smart judgments about who should go to college were thrown out when the federal government took over granting student loans.
Because our government basically vomits money at everyone who applies.
If private lenders gave out the loans, they’d look at whether they were likely to be paid back.
They’d ask questions like: “What will you study? You really think majoring in dance will lead to a job that will pay you enough to allow you to pay us back?”
Government rarely asks these questions.
Bureaucrats throw money at students. Many don’t benefit.
Many shouldn’t even be going to college.
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