Stand with The Libertarian Institute

The Empire has us on the brink of nuclear Armageddon. The central bank has us flirting with economic-social collapse. Americans are increasingly paranoid of one another and simultaneously invested in wielding the state against one another.

The voices of the establishment are legion. The voices of dissent are few. Make your stand for liberty by supporting The Libertarian Institute today.

What Has Government Done to Our Universities?

by | Sep 6, 2022

What Has Government Done to Our Universities?

by | Sep 6, 2022

pexels ekrulila 2292837

Joe Biden has stoked more fire into the debate over higher education. The president unveiled a plan to forgive $10,000 of student debt for those making $125,000 a year or less, or $20,000 if that borrower was a recipient of a Pell Grant. While one can argue about the economic or moral implications of the decision, the question that many seem to have missed is: why is a college education so expensive? Is it even worth it? What has the government done to our higher education system?

In the United States, there is over $1.75 trillion in student loan debt with an average of $28,950 plus interest for each borrower. What made college so expensive? That is a gross combination of issues, including how students pay for their college education.

2013 12 06 collegecosts thumb
  • Facebook
  • Twitter
  • Pinterest
  • reddit
  • LinkedIn
  • Buffer

 

 

 

 

 

 

 

 

Traditionally a college education was paid for either by a family saving up for a child to seek a higher education, or the young adult working almost full time alongside their education to pay it off. That is no longer the case amongst Americans. Rather than alternatives such as entrepreneurship, apprenticeship, or simply requiring a GED or high school diploma, almost half the jobs in the United States now demand some form of college education according to the Bureau of Labor Statistics. The cultural demand for a college education certainly could have driven up costs, but almost 570% almost seems impossible.

The real spike in prices was primarily due to government guaranteed student loans. The government’s Federal Family Education Loan program guaranteed that if a loan from a private lender or Sallie Mae defaulted the government would take over the loan and pay the loss. This guarantee ended in 2010, but the consequences were in these lenders giving out more student loans than they ordinarily would. Borrowers who would be unable to get a loan for the career they seek out were less of a risk to these lenders, and those banks were willing to give out more loans to students. The subsequent result was rising prices. If loans are being given out so easily, then colleges can afford to raise prices as students will simply take out more loans.

Title II of the Student Aid and Fiscal Responsibility Act of 2009 (Subtitles A & B) demolished the Federal Family Education Loan Program and directed the Department of Education to issue loans directly to students. This misuse of loans has resulted in much the same issues and costs described above. Students choose majors that provide no real skills for actual jobs and waste years of their young lives while progressive ideology spreads.

Progressive ideology runs rampant in universities for to two reasons: heavy government investment and the embrace of ESG in their financiers. Between student aid, grants, and contracts the United States government has sent $149 billion to colleges and universities. The natural incentive is for the government to send money to those most likely to justify the actions of the government. Harvard University is the recipient of over $1.9 billion in grants from the National Institute of Health and one is for pushing ideas of “Transforming Transgender Care.” Harvard benefits from:

“…Tax privileges conferred by the federal government have helped institutions like Harvard build extraordinarily large endowments. So-called private colleges have willingly forfeited some of their independence to federal bureaucrats in order to keep the federal bounty coming.”

All the while, Harvard continues to promote progressive philosophy like Critical Race Theory that can be found explicitly in their law program and their website.

Universities and their endowment funds have even gone so far as to embrace ESG as part of their priorities. ESG—short for environmental, social, and governance—is a credit rating by large investment firms for businesses and companies based upon those three factors. ESG has become weaponized by progressives against companies that appear disfavorable to them. For example, Tesla, an electric car company, remains in the 58th Percentile, while Exxon, an oil company, is in the 38th. Clearly these have little to do with actual environmentalism and far more with what upsets the progressive dogma and ideology. Such schools as the University of California, Georgetown, Harvard, and Oxford have embraced ESG, and along with it the “social” governance scores that push a progressive agenda. ESG is used by the largest corporate firms in the world such as BlackRock, which manages around $10 trillion. Their CEO Larry Funk has intimate connections with the Federal Reserve Chairman.

A combination of government investment in loans as well as grants by progressive dogma has resulted in not only a more expensive higher education but also a progressive indoctrination camp. Students leave college with largely useless degrees, a thorough brainwashing, and tens of thousands in debt.

Government and ESG has our universities.

About David Brady

David Brady is an At-Large and Social Media Contributor for the Libertarian Party of Minnesota. Follow him on Twitter @realDavidBJr.

Our Books

thisone

Related Articles

Related

How to Sell Progressives on Lower Taxes

How to Sell Progressives on Lower Taxes

As Democrats and Republicans across the country fought over control of Congress in this past midterm election, progressives in Massachusetts and California continued with one of their favorite pastimes: trying to raise taxes on the rich. In Massachusetts, voters were...

read more
We Must Separate Tech and State

We Must Separate Tech and State

Senator Ed Markey (D-MA) recently got in touch with his inner mobster and threatened Elon Musk—the new owner of Twitter and the CEO of electric car company Tesla and space ventures company SpaceX. He told Musk, “Fix your companies” or “Congress will.” As part of this...

read more
No, the Labor Market Ain’t ‘Strong’

No, the Labor Market Ain’t ‘Strong’

Last Friday the Wall Street gamblers made another run at “bad news is good news”, taking the averages up modestly after a frenetic chase around the barn and back. But at the end of the day, it’s high time to forget about the games played by Wall Street day-traders and...

read more

Pin It on Pinterest

Share This