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Not very hard to fix the student loan problem.
Tie loan amount to average income of post graduations data, including assigning one for "undecided", then reduce the loan amount by averaging in the earning potential of failing to receive a degree. Then cut interest rate by 50% since risk has been normalized. Cut it down to 25% if you want to take away loan forgiveness.
Just get some actuary to do the calculation. It's stupid to treat every student the same without worrying about potential earning power considering 47% of them will not graduate with a degree. So student loans should be tied to grades like scholarship and majors. If you keep getting Ds in basket weaving then you'll need to start stripping for that college tuition because the government shouldn't subsidize kids inability to study or make good decisions.
So basically if student has a high chance of earning very little after college, this kid will have very little loans because he/she wouldn't have qualified for them. So either this person worked their way through college or dropped out. The sooner they drop out the better financially for themselves anyway. This also light a fire under these kids' ass vs thinking free money just falls from the sky so keep on partying and dropping classes cause the government got their back.
Tie loan amount to average income of post graduations data, including assigning one for "undecided", then reduce the loan amount by averaging in the earning potential of failing to receive a degree. Then cut interest rate by 50% since risk has been normalized. Cut it down to 25% if you want to take away loan forgiveness.
Just get some actuary to do the calculation. It's stupid to treat every student the same without worrying about potential earning power considering 47% of them will not graduate with a degree. So student loans should be tied to grades like scholarship and majors. If you keep getting Ds in basket weaving then you'll need to start stripping for that college tuition because the government shouldn't subsidize kids inability to study or make good decisions.
So basically if student has a high chance of earning very little after college, this kid will have very little loans because he/she wouldn't have qualified for them. So either this person worked their way through college or dropped out. The sooner they drop out the better financially for themselves anyway. This also light a fire under these kids' ass vs thinking free money just falls from the sky so keep on partying and dropping classes cause the government got their back.
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