"Sixteen Tons": the student debt edition

When I was a kid, we used to sing Merle Travis's Sixteen Tons in the car on long trips: it's a poetic masterpiece, capturing the clash between a worker's proud and indomitable spirit and his impossible, inescapable poverty trap (chances are you've heard Tennessee Ernie Ford or Johnny Cash perform it). Read the rest

Since 2007, debt-haunted grads have been doing public service to earn loan forgiveness, which they won't get

The roster of people carrying student debt is really just "a list of people liable to additional taxation after graduation"; in 2007, GW Bush signed into law the Public Service Loan Forgiveness (PSLF) program that would allow debt-haunted grads to earn loan forgiveness by foregoing the private sector and working for lower wages in public service for a decade. Read the rest

Economic indicators: consumer debt continues to grow, delinquency rises, students face "crippling debt"

Trump's economic statistics are all about stock growth and low unemployment numbers, but more than two thirds of the US economy is driven by consumer spending, so if you want to know where we're headed, you should be looking at the average American's ability to buy things. Read the rest

Betsy DeVos's summer monstrosity is pure McMansion Hell

Kate "McMansion Hell" Wagner is carrying $42,000 in student debt; heiress Betsy "Marie Antoinette" DeVos is the anti-public-school advocate whom Donald Trump put in charge of the nation's public schools, and one of her first official acts was to end the rules limiting sleazy student debt-collection tactics, even as Trump was ending debt relief for students defrauded by diploma mills (like, say, Trump University). Read the rest

America's economic growth has come from subprime borrowing by the poorest 60%

Normally, economic expansion is driven by more spending by the wealthy, and you'd think that 2018 America, where the wealthy are wealthier than they've ever been, would be dependent on the few people with ready cash as engines of economic growth. Read the rest

GDP vs human thriving: a "healthy" economy means debt-haunted people, desperately searching for housing

GDP and stock market performance are the two metrics that economists (and politicians) use to measure the health of a nation's economy, and by those metrics, Trump is doing a hell of a job. Read the rest

Student debt crisis watch: pay $18,000 of your $24,000 loan, owe $24,000

Kaitlin Cawley finished grad school with $95,000 in student loans, including a $24,000 variable-rate loan that started at 9.4% and now stands at 11%, a loan that the US government lender Sallie Mae brokered for her when she was 20. Read the rest

Student debt: more people, paying more money, and mounting year on year

Dissident economic statistician Matt Bruenig (previously) has parsed the latest numbers from the Survey of Consumer Finances, and brings us the news of the increased democratization of student debt: in 1989, only 16% of students and their families carried student debt -- in 2016, it was 44%. Read the rest

San Diego State University Tuition in 1959

Costs of attending San Diego State University in 1959

A resident student paid $41 (not sure if that's a year or semester). Adjusted for inflation, it's $340.

[via] Read the rest

America's universities: Hedge funds saddled with inconvenient educational institutions

Public and private universities alike have been transformed into financial shell-games for Wall Street's wealthiest hedge-funds, while tuition and student debt soar, adjuncts are exploited, and the lifetime expected returns on a university degree plummet. Read the rest