The student loan system meant to aid those in need of funding for higher education, may not be as safe as many thought. The number of students needing this publicly provided service has increased over the years, as the average wage level has decreased. The hope of a degree, the promise of education to provide a better is well accepted by the younger generations. What is a problem is the lack of funds to support these dreams; the very goal this system meant to provide is lost. The reason for fewer funds applied comes from all the previous failures in financial systems, draining education and discretionary accounts. Additionally budget cuts have removed any additional support from being available; the funds can not last forever without being resupplied. Now with a low economy there are few jobs for the graduation classes to get offered, no means then to pay what is owed.
We funded bailouts of the major players both on Wall Street and the banking industry, this to avoid anyone losing. But that did not help, there are loses just not as many from the major players as there are from others. The major players got funding, this was not then available to the smaller organizations. In business and leadership training they talk about disasters happening, attempting to get students thinking about what to do in situations that get out of hand. The idea of teaching ethics as a guide in making decisions follows to do the best benefit for the most people, even if you pay for it. But in this case only political power coming from the few fearing losing most of all caused an instant action. Political expediency for the rich to gain salvation, while the less politically connected were not helped or even heard.
Their children, along with all the others who lost jobs, homes and incomes have to still get on with their lives. They dream, they hope for a future to create and there is so much emphases places upon education and credentials they know to get them. But even for those so lucky to do so, what then? The jobs they look to find are not there at the end, the rainbow made by Wall Street planning has no pot of gold at the end. Those gaining jobs are finding they are menial and low wages; there is no money to pay off the loans. Threats to take assets or bankrupt the former students will do little good, if they had assets they would not have needed the aid to get through school. So where is the money going to come from to pay this debit? The federal government does not bail out the poor among us; this is a privilege reserved only for the rich and powerful.
The lack of current funds and the heavy load the deficit has placed upon the federal government makes it very unlikely that a bailout would occur in either case. This month alone the congressional committee meant to decide the deficit spending has meet and is still not able to come to any decisions. Those in Washington are not willing to discuss with each other any compromises, set in their ways they can not even get alone anymore. The privileges they are granted are meant to be give them the time and abilities to deal with such problems. Yet they are using these same privileges to do nothing with, and the problems get worse. How much longer before the student loans system breaks as well? Then what…who bails us out? Europe keeps bailing its own out, China is already complaining, the U.S. Treasuries have lost the AAA status and more. Where is there leadership among any of them to undo the damages they have caused?
Contact: Michael Pulse MPulse@truth-things.biz Author of: The Truth of Things
Website: www.truth-things.biz CEO of Stone Rose LLC.