Youth Held Hostage By A Corrupt Higher-Education System

Oct 20, 2015 by

BY SALVATOR J. LA MASTRA V –

Education is supposed to be about the improvement of the next generation, allowing its members to use their innate intellect, combined with existing evidence and theory, to better themselves and society.

But post-secondary education has become so corrupt, misguided and irresponsible that it has stripped away the dignity from an entire generation.

The student loan debt problem has become so onerous that a third of millennials would sell an organ to repay their loans, and more than half would sell all their possessions.

American colleges and universities are expected to enroll around 20.2 million students and graduate 2 million in the 2015-16 academic year, with the average student leaving with more than $35,000 in debt. Over a 10-year repayment period at current interest rates, the average borrower will pay back $48,333.

To put this into perspective, the average income of a high school graduate is $25,000 a year. So a student spending at least four years attaining a college degree loses $100,000 in potential wage earnings before taxes as well as going more than $48,000 in debt.

Such crippling debt in an economy that doesn’t have a sustainable supply of degree-worthy jobs creates lifelong economic hurdles and keeps millennials from achieving traditional life goals such as buying a house and starting a family.

Paying Too Much For Too Little

Since the 1980s, the price of food has increased 151%, the price of energy 154% and the price of health care 401%. Meanwhile, the cost of education has increased 757%. Why? The universities and federal government make great profits off the business of higher education, so it has gone unchecked.

Millennials have been shelling out absurd amounts of money for pricey degrees with the promise that they’ll bring higher income, earning potential and steady employment.

But with the stagnant economy, the loss of manufacturing jobs and more companies moving out of the U.S. due to a high corporate tax rate, none of the past advantages of a college degree is true for current and recent college graduates, leaving them unable to attain a middle-class lifestyle.

The Consumer Financial Protection Bureau, Treasury Department and Federal Reserve are all warning that student loan debt is as dangerous a threat to the economy as the housing bubble was in 2007.

Almost 50% of college graduates are working jobs that require a high-school diploma or less, and almost 300,000 are working at minimum wage.

Many minimum-wage millennials are trying not to default on their student loans, which is why a third have moved back home to save money.

Source: Youth Held Hostage By A Corrupt Higher-Education System – Investors.com

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