FREE COLLEGE FOR EVERYONE
College Education is not a Constitutional Right
Why do they think a college education is a Constitutional right? Why do so many think that a college education should be free? This is what is being taught at our institutions of higher learning, plus Bernie Sanders (Feeling Da Burn 2016) brought this topic to the forefront. THE MAN OWES ME concept has been fermenting on college campuses since the 60’s & 70’s.
PROTECTED ACADEMIA: You know the saying, those that can do and those that can’t teach. And today we protect those that can’t with tenure. Originally established in the late 1700s to protect academic freedom at religious schools (which are less than a fifth of the 4,703 U.S. colleges today), tenure has morphed into a guaranteed JOB FOR LIFE! Tenure is expensive, it is estimated that a college ties up between $10 and $12 million to support a single tenured professor for a 35 year career.
FEDERAL GOVERNMENT IS AT FAULT: The real culprit in rising college costs is the Federal Government. The public assumes that it is the banks fault and the left leaning progressives and the media never hesitates to paint banks as evil. In 2010, President Obama signed legislation ending federal subsidies to private banks that had been giving student loans, which means that the federal government is now the lender of choice for most students. In the beginning the federal government set limits on the amount a student could borrow. The average debt for the class of 2016 is $37,172.00 which of course varies depending on the college you attend but it is a 6% increase from 2015.
WWII GENERATION: When the WWII generation went to Yale the cost was $450.00 per year which equates to $7,200.00 per year in 2013 dollars. By 1970 tuition had not changed that much and about 68% of federal money to students was in the form of Pell Grants. For 2017 the cost is estimated to be $64 thousand per year (NOTE: THIS IS TUITION, BOOKS, HOUSING, and LIVING EXPENSES). What has caused this increase?
BIG GOVERNMENT: I believe that the cause is our well-intentioned BIG government. This comparison is a few years old but clearly shows the trend. Average cost per year in 1980 was $3,449 and in 2013 $9,733. This consistent increase started in the 1970’s increases each year at about 6%, which is much faster than the cost of living increases. The problem today is that there are a higher percentage of college graduates competing for a smaller percentage of jobs.
EARN THE MONEY YOURSELF: For decades college graduates have used the GI bill which is earned simply by giving a few years of service to your country while serving in the military. For those that qualify the Military Academies is another way to gain a college education.
TUITION SHOULD BE EARNED NOT EXPECTED: Ownership of a house or a car is not a given, if you qualify you will pay for it. Let’s apply the same principle using the 5C’s to student loans Character, Capacity, Capital, Collateral, Conditions and Purpose.
CHARACTER: Does the student loan applicant have good character? Good class behavior, good attendance and helpful to other students, community, family and friends.
CAPACITY & CONDITIONS: What is the capacity to repay the loan? What is the profession and what is the employment expectation after graduation? What is the average annual salary of the profession? Where do they plan to live after graduation? (EXAMPLE: average pay in New York is more than in Green Bay Wisconsin but the cost of living in NY is also much higher than in GB)
CAPITAL & COLLATERAL: What is the student’s net worth? (NOTE: Certainly Mom and Dad will co-sign but the student is the true receiver of the loan.) Student capital is SAT & ACT scores, GPA in school, extracurricular activity in school and the community. After a year in college the activities and GPA of the college transcript would be presented.
PURPOSE: What is the purpose of the loan? Is the purpose a sound and principled purpose? (NOTE: This is a reality check.)
WHY CONSIDER THE 5Cs: The student is forced to look at things through a reality lens. Prior to this the counselor at school implies that college is the answer and the profession the student chose is the best (ROSE COLORED GLASSES). It will cause the student and the parents to review the student’s career choice. This is a performance based loan so the borrower (student) is compelled to do well in school because doing well affects the interest rates on the loan.
GOVERNMENT INVOLVEMENT: My problem with government involvement as it is today is that it is just guaranteed money. Not so much for the student but mostly for the college. Students should not have to pay interest or make payments while in school so if the government wants to remain involved the government can pay the interest while the student is in college. If the student works while in college and makes payments these payments comes directly off the principle. (NOTE: JULY 2017 the current student loan debt is $ 1,400,000,000,000.00 that is $1.4 trillion.) THERE IS NO FREE LUNCH!
STUDENT EARNS THE MONEY: For decades college graduates have used the GI bill which is earned simply by giving a few years of service to the military. For those that qualify the Military Academies is another way to gain a college education.
COLLEGE IS A GUARANTEE: Do you remember the board game life where you had to choose a career which then gave you an income each time you passed the pay-day square? A college degree guaranteed a much larger salary, and that mind set is what has been and is still pushed to high school graduates today. A college degree guarantees nothing, but successful schooling beyond high school demonstrates to an employer initiative and drive. Additional education demonstrates to a potential employer that you are trainable and the assumption is that you can read and comprehend.
FOUNDING FATHER Noah Webster, On the Education of Youth in America, 1788:
“Every child in America should be acquainted with his own country. He should read books that furnish him with ideas that will be useful to him in life and practice. As soon as he opens his lips, he should rehearse the history of his own country.”