College Education Revised
Cost of Education and Student Loans in America
The escalating fee for tuition has caused major controversy since after the World War 2 during at a period when the workforce was so slow from the after-effects of war. At the same time, the higher education was thriving to (or “intending to”) pursuing additional for the sake of looking for stable livelihoods and successful careers. Quite some family households started running on debts to cater for school fees for their children for their children. Except Military academies, the US Federal government doesn’t give a direct support to those who need higher education. However, it provides grants and as well loans, dating back to the civil war. The paper aims to discuss the cost of education that is facing student’s loans in America and the various ways through which the government, parents, students and other stakeholders can help avert this hardship education situation.
The US is rated top in the cost of education in the whole world. Public institutions have no have to power to take control over the resources used by revenue, the government. Student loans are the major reason there has been a continuous escalation of tuition in the US (Cox 67). Student loan limits continue to rise, and thus the increased level of taking out loans for students to take out loans communicates to universities and colleges that students can afford the cost of education. To respond to this situation, the institutions of higher learning have continued to raise tuition to the fee, giving students more debts.
As tuition continues to go higher, it is now obvious for college students to pay for their studies by use of loans. Education has become very costly that it is very hard for students to finance their tuition by working. This leads to great deals of students graduating with a lot of credits yet to be cleared. Debt from student’s loans has continued to escalate. This is a problem that is eating into the government, and it is high time that the federal government face the whole truth and know how exactly to deal with this problem. People have a strong belief in the fact that education in college is very important in the sense that it is worth, and it results in a good job that in turn result in better earnings (Guthrie 98).
The main aim of the research work is study more about the connection between the cost of education and student loans. The research was conducted with the main aim to ascertain whether students spend less. Some of the reasoning they use for decision making. It is speculated that quite some students in college have to know that they are in very big debt. They do not have necessarily to have worries concerning their loans simply because the students look forward to making a good salary after college. They believe that they would stand a better chance to stand a better chance to settle their loans in their later life. Also, it is deduced that the number of students who survive in college on loans has the highest possibility of using the credit card and the debit cards along with hold jobs. Regardless of the indication of the data, a quick action is necessary to address the cost of tuition. In addition to that, it is of great significance to sensitize students. Moreover, there is a need to be well enlightened on the dangers that come along with debt before you join college so that as a student you make better financial plans.
The most important contributor hike of the tuition fee is due to both the private and the public institution is because of high instruction fee. As per the various studies, it is ascertained that the instruction fees accounts for a third of the increase in tuition cost in a public institution and a quarter of the same in public institutions.
Cost both the activity of privatization shifting and to increase tuition by shifting the burden over to students. More often than not, this normally happens and changes to be in the form of education tuition at institutional levels that are higher. Critics have deduced that the change from the support received from the state to tuition is a clear representation of a system that results from good privatization of the higher education in the public sector. Student loans have always been negatively affecting the lives of the students. Unfortunately, this condition will continue to prevail, and it will continue to deal a great blow to the finances of the student and as well their educational choices. This is because the cost that is used for the purpose of admission of students and as well attending college has continued to go high each day (Kamenetz, 30). The stakeholders use very similar techniques for analyzing statistical data so that they can describe the situation of as it currently presents its self in the higher learning institution. The same statistics has been used to determine consequences experience currently in the continuing increase in the population of young students in the market job.
College tuition has risen at a faster rate than inflation for the last three decades and faster than the cash flow in quite some families in one decade ago (William 23). There are two major reasons as to why the college cost for the average American family is increasing at the unprecedented amount. Firstly, it is due to cut down on the state budget and secondly because of inadequate grants to fund the college learning programs. Two out of three students enrolling in college in this country have to use loans given to the student for them to stand a better chance to finance their college life.
Statistics reveals that the level of debt students has incurred on an average has continuously increased. This seems to be a great issue. Growing costs in tuition have greatly led to increased level of borrowing of the students. Quite some estimates have considered the lifetime earnings differentials of average earnings in a life for the student in college after graduation and a high school graduate to stand at over one million united US dollar. Forty-six percent out of twenty-four –year- old student that is considered in the earnings that fall in the upper quintile had held a bachelor’s degree, in comparison with eight percent of students in the higher learning institution graduate in the lower quintile, indicating it is essential to get bachelors to be assured of a good income. The cost of lack of education in college might result to an expensive practice if it is considered over a long period, leading to rising numbers of students in high school waiting to attend college. In the year 1970, the registered number of students in college amounted to seven million. Surprisingly, approximately addition of thirty-two years that is in the year nineteen ninety-two, the number stood at fifteen million despite the fact that there was an addition of four million in the overall populations from which increased from thirty-six to thirty-nine million. As per the new understanding, getting a degree cannot anymore be compared to getting access to the education, but as a form of investment that comes from potentials of future earnings. (Salinas 80).
Both social and economic concerns show that long-term trends in the cost make education offered at higher levels is an eminently inflationary sector of the American economy. Tuition has gone higher recently sometimes even outpace the explosive health care sector. These drifts are origins of ongoing misunderstanding that presents itself in the US concerning the costs of education in higher levels of learning and their probability of limiting the state’s achievements in social justice, fairness, and democracy.
Studies have revealed that there is social ramification to higher student credit. Students from lower- income families are most likely to drop out to avoid getting into debt. Further studies show that 75% of students report stress that includes tuition difficulties (Tulip 89). This has ended up causing heightened level of suicide cases directly related to the tension that results from defaulted loans for students. This can be referred to as a social concern because of advanced mental health complications in the life of the student because of economically induced stress.
To mobilize the society, we should ensure that people are aware of the needs and problems regarding the issue and how it affects them and thus they should be educated on the reasons behind costly education and what to do to provoke a positive change. The best methods to mobilize the society are through educational fliers, individual groups, social movements and to an extent political rallies since the issue affects the state as a whole. People are connected to social media much more in today’s world than before. The use of social media is essential to mobilize the community for a collective deed. It’s the best way to reach out to millions of people and mobilize them for a group effort. Use Facebook, Twitter so as to generate awareness to all persons, also use of magazines, radio, newspapers and television that hold the mandate to inform thousands of people on any campaigns set up to mobilize the people for a cause.
In conclusion, it is a fact that student loans have and will continue to affect negatively students financially, socially and their education decisions. The following measures should be affected: Increasing transparency to assist students and their families in making investments, creating better and accessible options for borrowers, increases Pell Grants. This is the leading source of student aid for low- income families, connect financial aid to affordability, Congress should allow students to refinance the debt they have so they can take advantage of lower interest rates. The primary goal is to allow every student especially those from low-income and middle -class students to have a good college education debt free. The most crucial part is making sure our students get a far better deal on their loans. Higher education should not be a luxury. It is a necessity, an economic imperative that every family in America should be able to afford. President Barrack Obama, August 22, 2013. If at all the American government wants to reduce illiteracy, improve the economic growth and reduce the social lag behind, it is high time more emphasize should be given to the education to correct and make it favorable for a student at all institutional levels.
Cox, Lynnette. Zero Debt for College Grads: From Student Loans to Financial Freedom. New York: Kaplan Pub., 2007. Print.
Guthrie, James W. Encyclopedia of Education. 2nd ed. New York: Macmillan Reference USA, 2003. Print.
Horowitz, Jennifer A., and Bruce E. Walker. What Can You Do with a Major in Education?: Real People, Real Jobs, Real Rewards. Hoboken, N.J.: Wiley, 2005. Print.
Salinas, Angel, and Gladys Acevedo. Expenditure on Education. Washington, D.C.: World Bank, 1999. Print.
Toby, Jackson. Lower instruction Cost for American students: Why it is good to use Performance as a measure for Financial Aid. Santa Barbara, Calif.: Praeger, 2010. Print.
Tulip, Peter. Financing Education in higher levels of learning institution in the United States. Paris: OECD, 2007. Print.
Kamenetz, Anya. Generation Debt: How Our Future transformed to a point of being sorting for the Student Loans, Riverhead Trade (Paperbacks), 2007.
Williams, Jeffrey J. “The Debt of Student Debt and the Indenture Spirit.” Dissent (2008): 73-78.
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