Obama to unveil bail out on student loans

[a777pilot]

You need to qualify that as football coaches, and the occasional ball coach. And if you read their contracts most of their money is paid by sponsorship deals and donations.

Because of title IX they need big time money from football and to a lesser extent basketball to stay in compliance with it.

As for endowments. That doesn't come from tuition, again point out at UT only 9.6% of their operating budget comes from tuition revenue. That comes from donations. Its also paid out as need and merit aid. Universities aren't in the business of making money. They are in the business of spending it.

Title IX is, or ought to be easy to get around....just have one team of each sport and let the men and women compete fairly for a position on those teams.

 

[quest55720]

There was plenty of dead wood there when I attended. I'm sure most of the unproductive ones are just there as part of the educational bloat that has come from student loans. They are getting creative just trying to spend all their excess money.

No the bloat is from the stupid tenure system. Why would anyone work hard when you can't be fired. Get rid of tenure and make pay based on merit.

I like the john stossel special on the higher education bubble.

 

[HendrixFan]

Title IX is, or ought to be easy to get around....just have one team of each sport and let the men and women compete fairly for a position on those teams.

There are rules that prohibit education and athletic funding from intermixing. Cutting coaches salaries wouldn't put a single dime into the education funds.

 

[KlokWyze]

How big is this bubble compared to the real estate one that burst (not completely) in 2008? I don't think it's going to be as big, but it's not going to help. Oh wait though, it will help for a little while, but more importantly, that's all that matters.

 

[pcgeek11]

President Obama is circumventing the Congress and the Republicans are having a hissy fit...que whining from the Tan man and the Chinless Fuck McConnell in the next news cycle

He is trying to become a dictator is what you mean.

 

[Zebo]

LOL! Where do you get this idea that limiting funding to Universities will make tuition lower?!

Ever heard of private schools?

Supply and demand, basic law of economics. You see without govt providing virtually limitless dollars less people will attend meaning they will have to cut prices to where we can afford to attend with just a part time job like when my dad attended UCLA in the 60s (there were no student loans) or I went to Calpoly in the 90s with no student loans. Private schools all are registered to get on the student loan dole too so I'm not sure your point other than they even cost more student loans. Professors and administrators will have no choice but to take a hair cut if they want any students.

This applies to all forms of finacialization. See home building last few years. Builders and realtors got rich. Home builders used to be a middle class profession but not when you have hair dressers getting 700K loans and 125's for pools and sunrooms and shit you can't find a builder as fast as they were issuing cash. Once that spigot was cut off builders and realtors work for cheap these days.

 

[Ausm]

He is trying to become a dictator is what you mean.

No he is within the limits of the Constitution...If he was a Dictator he would be able to implement plans adequate in size that wouldn't be considered a band-aid. The best part of this is that it makes the GOP in Congress look like the FAILED Obstructionist they are

 

[pcgeek11]

No he is within the limits of the Constitution...If he was a Dictator he would be able to implement plans adequate in size that wouldn't be considered a band-aid. The best part of this is that it makes the GOP in Congress look like the FAILED Obstructionist they are

What about the Senate with their Democrats that look like the FAILED Obstructionist that they are .

I said he is trying too not that he was...

 

[a777pilot]

There are rules that prohibit education and athletic funding from intermixing. Cutting coaches salaries wouldn't put a single dime into the education funds.

OK, do it anyway, just because it is the right thing to do.

 

[Ausm]

What about the Senate with their Democrats that look like the FAILED Obstructionist that they are .

I said he is trying too not that he was...

2 bluedog Democrats= Obstructionists ??? If the Dems had their votes it still wouldn't come close to breaking an inevitable Republican Filibuster so what's your point?

 

[actuarial]

Here's the "too big to fail" argument. If they owe this money to the government, i.e., the tax payers, then so be it. No bail out. The loans stay for ever. No welfare. No benefits. No tax refunds. No social security. No unemployment checks. Nothing till the money is paid back....in full.

We are seeing the entitled generation meeting the real world.

So should the current retirees be cut off from social security until they pay back the $14T they owe to the current working population?

Or the soon to retire boomers? That's the generation that has taken far more than it has ever given.

 

[PingSpike]

Maybe student loans need to be underwritten based on the student's major and academic performance. (To measure future earning potential)

That would be a waste of effort. The loans can't be discharged in bankruptcy so you just need to calculate how many individuals in a population segment commit suicide and rate risk based on that. I'm not even sure if academic performance is a good indicator of earning potential or not, buts its still pretty irrelevant as far as the risk of default on a student loan goes.

 

[quest55720]

That would be a waste of effort. The loans can't be discharged in bankruptcy so you just need to calculate how many individuals in a population segment commit suicide and rate risk based on that. I'm not even sure if academic performance is a good indicator of earning potential or not, buts its still pretty irrelevant as far as the risk of default on a student loan goes.

Actually it is very relevant. If a student is near a 2.0 means they are much more likely to not graduate or need more years to complete school. So the low GPA student is less likely to finish or will have to go in much more debt to finish because of the extra time involved. It makes them a much higher risk than a 3.0 student IMO. That is if we move to a system that lets students not pay back all the money they borrowed if they don't get goodjobs.

 

[drebo]

OK, do it anyway, just because it is the right thing to do.

How about, instead of forcing private colleges to lower their tuition, we make state colleges more affordable by, oh, I don't know, NOT giving billions of dollars away to people who shouldn't be in college?

When I went to a state school for a couple of semesters, there were people in some of the classes that couldn't read, write, or speak English. At all. And most of these people were on either reduced tuition plans or on free rides. These people should have gone through vocational programs in highschool to teach them a trade. We shouldn't be wasting money on getting them Philosophy and History degrees.

Like I said, it's a cultural problem that has absolutely dick to do with how much colleges charge.

 

[Munky]

Yeah, cuz the last bailout worked so well...


He's only digging us deeper into the hole. The government should have never guaranteed student loans in the first place, and we wouldn't have the makings of the next bubble to go bust.

 

[PingSpike]

Actually it is very relevant. If a student is near a 2.0 means they are much more likely to not graduate or need more years to complete school. So the low GPA student is less likely to finish or will have to go in much more debt to finish because of the extra time involved. It makes them a much higher risk than a 3.0 student IMO. That is if we move to a system that lets students not pay back all the money they borrowed if they don't get goodjobs.

But we don't have that system, which was exactly my point. The risk is all loaded onto the student so why would any one making the loan give a fuck if they get a degree in engineering or bong making or whether they completed their degree with a 4.0 gpa or failed out after a semester?

All you'd have to do is remove that protection and all of a sudden private loans would actually give a shit whether the kid they were loaning to was likely to live a life of poverty or prosperity because they'd have skin in the game.

 

[Ryan711]

We are seeing the entitled generation meeting the real world.

You mean like the generation that was too stupid to save for retirement and now is going to bankrupt the country just because "they earned it"?

Or do you mean the ones who will never see a dime of SS and yet continue to pay into it so the entitled idiots that came before them can live? Yea, I think we know who the entitled ones are.

Or perhaps the generation, through their governmental policies, destroyed the middle class, ran the debt up to unprecedented levels, and, at the current point in time, for the first time in history, left for their kids a worse future than they had growing up.

In 100 years, it will be YOUR generation that will be looked upon with disdain as the lazy, entitled, spoiled kids that nearly destroyed the country. How does that make you feel?

 

[EagleKeeper]

2 bluedog Democrats= Obstructionists ??? If the Dems had their votes it still wouldn't come close to breaking an inevitable Republican Filibuster so what's your point?

When he had control of the House and the needed 60 in the Senate, it still made no difference.

He can not lead and attempts to pass the blame/buck.

He sure is no Truman.

A weak leader, worse than Carter

 

[EagleKeeper]

How about, instead of forcing private colleges to lower their tuition, we make state colleges more affordable by, oh, I don't know, NOT giving billions of dollars away to people who shouldn't be in college?

When I went to a state school for a couple of semesters, there were people in some of the classes that couldn't read, write, or speak English. At all. And most of these people were on either reduced tuition plans or on free rides. These people should have gone through vocational programs in highschool to teach them a trade. We shouldn't be wasting money on getting them Philosophy and History degrees.

Like I said, it's a cultural problem that has absolutely dick to do with how much colleges charge.

That problem has always existed at the State level.

The first year of school was setup to bring the have nots up to the level (academic) of the haves.

Stuff that should have been absorbed in HS was being taught in college.

Be it a 4 yr school or a JC; resources are being wasted to support those that are not equipped for the course levels.

Colleges or JCs needs a 1 yr hand holding level to see if the failed but passed HS students can cut it at the expected post HS level.

 

[Ausm]

When he had control of the House and the needed 60 in the Senate, it still made no difference.

He can not lead and attempts to pass the blame/buck.

He sure is no Truman.

A weak leader, worse than Carter

Worse then Carter is assinine statement but you are entitled to your opinion. I do think President Obama should put the Healthcare Bill on the back burner and passed bills that would have produced jobs when the Dems had the majority in the House and the Senate.

 

[Infohawk]

That problem has always existed at the State level.

The first year of school was setup to bring the have nots up to the level (academic) of the haves.

Stuff that should have been absorbed in HS was being taught in college.

Be it a 4 yr school or a JC; resources are being wasted to support those that are not equipped for the course levels.

Colleges or JCs needs a 1 yr hand holding level to see if the failed but passed HS students can cut it at the expected post HS level.

Very true. This is why I support California's exit exam. Too much time and money is being wasted in the early years of college to do remedial work. We need to stop passing people automatically from grade to grade. If you don't know how to read or write at all you shouldn't get past 8th grade for example. For people that can't or don't want to make it through high school we should have more trade / technical schools.

 

[TheVrolok]

I'll kiss you if this is true... she is a trauma surgeon so that fits fairly good into 'public service' I'd think.

It is. This is exactly how I've been planning to pay off my medical school loans. Just must make sure she actually qualifies as a public sector worker. If she's employed directly by a non-profit hospital, she's probably good, if she works for a group that contracts with a hospital, she may not be.

 

[Darwin333]

How about, instead of forcing private colleges to lower their tuition, we make state colleges more affordable by, oh, I don't know, NOT giving billions of dollars away to people who shouldn't be in college?

When I went to a state school for a couple of semesters, there were people in some of the classes that couldn't read, write, or speak English. At all. And most of these people were on either reduced tuition plans or on free rides. These people should have gone through vocational programs in highschool to teach them a trade. We shouldn't be wasting money on getting them Philosophy and History degrees.

Like I said, it's a cultural problem that has absolutely dick to do with how much colleges charge.

It should be very common knowledge by now that if virtually anyone has the ability to borrow virtually limitless money for a certain commodity, lets call it higher education in this example, that commodities price will continue to increase so long as the money people are able to obtain (regardless of their ability to pay it back) continues to increase as well.

Do you think we would have had a housing bubble if reasonable underwriting standards and common sense (umm, maybe that house won't appreciate by 10% a year forever) was used?

Do you think a college would charge $100K to obtain a degree if no one could afford, or obtain the funding, to get that degree? Or do you think perhaps, just maybe, the price might come down to a more reasonable level?

 

[Engineer]

You mean like the generation that was too stupid to save for retirement and now is going to bankrupt the country just because "they earned it"?

Or do you mean the ones who will never see a dime of SS and yet continue to pay into it so the entitled idiots that came before them can live? Yea, I think we know who the entitled ones are.

Or perhaps the generation, through their governmental policies, destroyed the middle class, ran the debt up to unprecedented levels, and, at the current point in time, for the first time in history, left for their kids a worse future than they had growing up.

In 100 years, it will be YOUR generation that will be looked upon with disdain as the lazy, entitled, spoiled kids that nearly destroyed the country. How does that make you feel?

Ouch...

That's why I say if we have to cut, they should get cut too....