Should Student Loan Forgiveness Be Considered?

The debate over whether student loan forgiveness should be considered is a contentious one. Some argue that loan forgiveness would be a form of redistribution, where taxpayers foot the bill for those who have already benefited from their education. Others believe that those who have taken out loans should have to bear the full burden of repayment, regardless of the circumstances. This article aims to provide a balanced perspective on the issue, examining both the arguments for and against loan forgiveness.

Arguments Against Student Loan Forgiveness

The primary argument against student loan forgiveness is that it would be an unfair burden on taxpayers. As one individual noted, those who have taken out student loans are responsible for repaying them. To forgive these loans would mean that working class individuals, many of whom do not have the same earning potential as others, would have to compensate for those who benefited from higher education.

Consider the scenario of purchasing a car. If you take out a loan to buy a car, that loan does not get forgiven simply because someone else deems it necessary. Instead, you must repay the loan or face repossession. Similarly, student loans should be repaid, and it is not fair to ask taxpayers to pay for someone else's education.

Improving Pay and Addressing Cost Considerations

Some argue that student loan forgiveness incentivizes unwise spending on education, particularly those in majors perceived as less valuable. However, it is important to consider the broader context. The cost of a college education has risen far beyond inflation, largely due to increased administrative costs and other financial factors.

A closer look at the data reveals that the expansion of university administration has played a significant role in the rising costs. According to the Department of Education, administrative positions in colleges and universities grew by 60% between 1993 and 2009, far outpacing the growth in tenured faculty positions. This expansion has led to a financial burden that is often passed on to students in the form of higher tuition fees.

The True Culprits: Unchecked Administrative Growth

To address the root cause of rising tuition costs, it is not enough to simply forgive student loans. Instead, there is a pressing need to reform the system and reduce unnecessary administrative growth. Let's take a closer look at the compensation and responsibilities of university administrators.

A college president in the United States earns an average of $560,000 per year, while the President of the United States is paid only $400,000 to lead the free world. This disparity highlights the excessive compensation in the higher education sector. Administrators, particularly those who have mismanaged universities, often receive significant raises despite their underperformance.

The example of Evergreen State College starkly illustrates this point. Under the mismanagement of President George Bridges, the college has seen a catastrophic drop in enrollment and significant budget cuts, yet he still received a raise. This is a clear case of administrators exploiting the system for their own financial gain.

These administrators and their supporters in the media and politics now want the government to go even further into debt to subsidize the very system that is benefiting them at the expense of other taxpayers. This is a dangerous path that can only lead to further economic strain and inefficiency.

Conclusion

While there are valid concerns about the impacts of student loan forgiveness, it is essential to tackle the underlying issues that have led to the current cost crises in higher education. Addressing the excessive administrative growth and overcompensation in the higher education sector is crucial. It is not fair to add another burden on the backs of working-class individuals, and it is not just.

Instead, a multifaceted approach that includes increased transparency, efficient management, and sensible financial policies should be the focus. This will help create a more equitable and sustainable system for everyone involved.