Comment Deliberately clouded issue (Score 1) 91
Advocates for all kids going to college love to cloud this by citing stats about how much more money college graduates make than non-attenders over their careers, and it's impressive but deceptive. They use these arguments to convince kids to go to college, while then also encouraging them to "follow their passions/interests" and take ANY major. One big problem here is that the in-demand technical majors (the ones that will be hardest to study in college) are distorting the stats. The average kid going off to college is NOT studying to be a surgeon, NOT going to end up as a Principle Engineer at SpaceX or Apple, NOT going to be in a corner office at JP Morgan, or a lobbyist/lawyer in Washington DC etc. All too often, the kids taking the "you MUST go to college" advice are majoring in stuff that will likely NEVER pay off, and the folks in academia pushing all this are making out like bandits as colleges and universities double- and triple-down on the prices knowing full-well that the incoming freshmen have ZERO experience with debt and interest and no real appreciation for what those massive student loans will do to them. It's nice to imagine all the fine people advising the young along these lines are well-meaning and unbiased, but they are HUMANS and as always, "follow the money" is a good idea. The institutions involved have massively increased their non-professor staffs to insane levels, often creating and filling new positions that were never previously needed and contribute ZERO to student success - and SOMEBODY needs to provide the money for those salary and benefit packages.
The stats the kids SHOULD be given are [1] the odds of them graduating with the major they start with (many difficult majors are never completed) [2] the odds of them getting a job with that major, [3] the salary they can expect with a typical job obtained with that degree and the average longevity thereof, [4] The total debt they are likely to incur getting that degree (including not just tuition, but also books, labs, living expenses, additional tutoring and such that typical kids on that track incur) and [5] the likely costs of servicing that debt plus paying it off and the YEARS this will likely take. Some degrees (often the ones that will produce the best jobs) are so difficult/intensive that the student will be unable to hold a job while studying and thus need to finance all their expenses for those years. For those kids who never graduate, or who down-shift to a different/easier major (which may produce lower income results) all the debts will still be there... and most young college-bound kids are not truly equipped to appreciate what that may mean for them. It's not just that they do not truly grok the amounts of money, and effects of interest, they are likely also not equipped to understand how the psychological weight of that debt and the prospect of living under it for many years will affect them. It will also not likely occur to them to think about how difficult it could be to take on additional loans (for things like homes and cars) when banks see how much debt they are already under as they graduate from college. There are many reasons family formation and initial home purchases are getting delayed later and later into peoples' lives, but this stuff is certainly a major factor.
This all went completely out of control when the Obama administration did a federal government takeover of the student loan program. They made it so any kid could get loans, of nearly unlimited sizes, and for any majors... which was OBVIOUSLY going to be inflationary to anybody familiar with the old Law of Supply and Demand. Many of us predicted this and warned about it back at the time, and were were often denounced as "racists" etc on the theory that we just did not want poor black and brown people to be educated. The accusations were vile, and dishonest, and just a way to re-direct away from some very basic economic arguments, which if addressed back then would have spared countless young people of all skin colors and backgrounds a tremendous amount of grief. It's simply not possible to take all the limits off one side of an economic equation and not have really bad things happen. While it was Obama that did it, it was not his color or gender or party that caused this either, it would have gone just as badly had some white Republican female president done it. It was just a combination of economic laws, and human nature, that made this a really bad (and predicted and warned about) idea.