This Morning . . .


. . . on the Market Place Morning Report I heard them repeat and utterly mind-blowing statistic: student loan debt was now higher than credit cards, weighing in at $830 billion. (The story isn't on the site, but it can be heard towards the end of the eight minute show.)

The student loan debt was brought up and specifically linked to the Occupy Wall Street Protests, as it damn well should be. If there was one thing I would fight for if I was a twenty-something it would be this: a complete credit strike. I'd create a campaign and set a date where all students across the country recently graduated and paying student loans stopped paying. The sum of student debt is an outrageous, feudal, rentier-society fact that is one of the key aspects holding our economy back. It's parasitical.

Just walk away. That's what I'd do.


Sean Paul Kelley October 3, 2011 - 8:10am
( categories: Business | USA: Domestic Issues )

16 shocking facts about student debt

Not the same story, just some data.

Actor 212 October 3, 2011 - 9:28am

"Having assumed all that student debt in the hopes of becoming part of the 1% they now decry... blah, blah, blah"

Done less off the cuff, it would blade a component effectively.

"In combat one should be very suspicious of painless moral choices. When you are confronted with a seemingly painless moral choice, the odds are that you haven't looked deeply enough." ~ Karl Marlantes

JustPlainDave October 3, 2011 - 9:41am

assumption you are making there Dave. I'd bet you good money that most of the students in debt these days just want to be in the same place their parents were, which could be broadly defined as middle class.

Bad decisions make good stories.

Sean Paul Kelley October 3, 2011 - 9:46am

...what can sell effectively against the strategy put forward.

"In combat one should be very suspicious of painless moral choices. When you are confronted with a seemingly painless moral choice, the odds are that you haven't looked deeply enough." ~ Karl Marlantes

JustPlainDave October 3, 2011 - 9:50am

They'll never be able to participate in our glorious, credit fueled economy. Oh noes.

I agree that the system is parasitical, especially given how free universities feel to raise tuition every year and then spend tens of millions on new buildings, etc. ("to attract students").

On the other hand, a lot of students manage those finances really, really poorly. There seems to be a belief that those overage checks are some kind of free money for a good binge and splurge every semester. I know people who left school with thousands in CC debt used on books and whatnot; rather than pay down that debt with the overage checks, they lived fat for a month or two.

There's a generation that i'm now convinced has very little grasp of money. It's always been an abstract value represented by a debit card and loans, with shitty part-time jobs paying starvation wages.

In the end, it's just sad. Young people saddled with debt they didn't understand that won't get them a good job in most cases. They'll be crushed by the debt, working multiple jobs and dreaming of a "starter" home that runs well over $100,000 for which they can't save to make a down payment.

OWS is just the beginning. We hear how the Millenials are uber community oriented and real go-getters. I wonder what those traits will look like dominated by hopelessness and anger?

Lex October 3, 2011 - 2:26pm

parasitically targets young people, its like smoking. Get them while they are young.

Its a core failure of American education system. One of the core demands of occupy is removal of student debt. No way young people should be buried in debt getting a needed education.

Scotjen61 October 3, 2011 - 5:37pm

girls were assumed to aspire to be homebodies, schools used to teach Home Economics - cooking, sewing, various 'household skills'. Don't know if they still do, but life has gotten a lot more complex since 1940s. Schools should teach life skills needed today - how to understand legal paperwork, evaluate finances, cope with life's inevitable setbacks and difficulties.

I recall seeing an 8th-grade exam from a 1-room schoolhouse, circa 1880s. In addition to purely academic questions most BAs couldn't answer outside their major, it included practical questions - loan interest and repayment, mortgages, business and marketing practices, etc.

We seem of have created a generation which hasn't a clue about how the world functions. Of course, that leaves them vulnerable to the first shady banker (is there any other kind) who promises them the world if they'll just sign on the dotted line.

SPK is right that they're generally not aiming to become millionaires, they just want a Middle Class lifestyle. It is becoming increasingly obvious that the Middle Class may well be a endangered species and their college degrees worthless.

When I went to work for IBM in 1963, they wanted a degree. It really didn't matter much what it was - math, art history, polisci, etc. They saw it as an indicator of discipline, some acceptable level of intelligence and enough 'couth' they wouldn't be embarrassed if you became an upper-level executive (You should should be able to dine with CEOs without picking up the wrong fork?). Given those capabilities they could and did train to their needs. Now companies want an employee to hit the ground running - and to have been trained on someone else's dime. Now it's the students' dimes and all too often they went into debt to qualify for jobs that were outsourced or eliminated.

BTW: After decades of languishing, trade schools are making a comeback. You can't outsource the plumber or electrician.
They used to be cheaper than a university but I suspect they're raising their fees like good capitalists.


I'm human. I sometimes misspeak by accident.
You're a Republican. You always lie on purpose.

steeleweed October 3, 2011 - 9:21pm

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