Student Loan Debt

Student loans have spiraled out of control within the last few decades and this is negatively impacting our society. The average of obtaining a degree at a public four-year college is $9,300 and has been steadily rising by four percent since 1985. This trend is most likely going to continue the way it is and all the while the median family income remains stagnant or even slightly decreasing. This has led the students of today to take out more loans and just keep adding onto the growing student debt bubble. This early debt can take a heavy toll on any savings for retirement, plans for homeownership, or a possible rainy day fund. Students today will become the engine that runs this country and student loans make it next to impossible to make it out into the real world.
Student loan debt affects all adults across the income spectrum. Twenty percent of people in households with an income below $25,000 have student loan debt, as do the 18 percent of people in households with income over the six-figure mark. The chances of an individual having student loan debt decrease vastly with age. Overall,
After adjusting for inflation, the cost of tuition has more than tripled between 1973 and 2013. The slow recovery since the recession has accelerated this increase substantially and this reality forces students to take on staggering debts. The average debt load is near $30,000 and is the equivalent of a new car. This is compared to 20 years prior, where students typically graduated with debts amounting to $10,000 on average. This suggests that the decision on tuition costs does not have the students in mind. This is, even more, apparent in a private institution where a “winner-takes-all” society dominates. Competing intuition choose to maintain and increase quality by spending excessively, not by increasing efficiency, reducing costs, or reallocating