Tuesday, 11 July 2017

The Question of College

The Pew Research Center did a research project and asked the question of value of colleges in America....depending on your view as a Republican or as a Democrat.

What they can generally say is that most Republicans (or leaning that way)....in the range of 58-percent....think it's a negative objective now to go off to college.

For Democrats (or leaning that way).....near 72-percent think that college are a positive thing.

What Pew can also show is that the Republican position has changed in a fair degree over a short period of time (roughly five years).

Why?

I think reality has come to set on the whole college-education scheme.  If junior is going off and spending $60,000 to $80,000 over four years....what exactly is junior getting in return?  Can that degree relate to junior getting a starting salary of $35,000 a year and $45,000 within five years?  Or will junior be stuck as some assistant manager of a airport car-rental shop and barely clearing $30,000 for the next fifteen years?

Few colleges want to have studies done to explain the pay-back feature of the degree business.  Lets face facts....a four-year degree in engineering is a good bit different than a four-year degree in French literature or tourism science or turf management.

From roughly twenty years ago, I worked with a guy who was financing his daughter through college and at the end of the first year...which he'd spent near $25,000 on tuition and board/expenses....the daughter came to admit that the degree that she was pursuing....was NOT of value.  The change?  At the end of year two......she noted the new strategy or degree path wasn't interesting enough.  As I met with my associate on the fifth year of this college path, he more or less told the daughter that this would be it for his paying into this deal....he'd wasted almost $125,000 and questioned what he saw was a total waste of $50,000 of that sum (he noted that you could have bought two new cars for that sum).

Presently, there is a 'bubble' in existence over the college debt episode.  It's kinda like the real estate 'bubble' that grew in the 2002 to 2008 period, and triggered the massive chaos of 2008's crisis.  At some point within the next decade, I expect that 'bubble' to explode and some massive forgiveness by the government will be required....with hundreds of billions of debt simply disappearing because of the government's solution.

When that solution starts to occur, I expect the only adding feature of the Republicans to this mess will be a severe limit to any form of credit for college education.  The colleges?  I expect them to fall on their knees and beg for some type of government credit solution, but the massive loss of trust in forgiving the debt....won't settle much of anything.

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