Student Debt Crisis: Should We Forgive Student Loan?

The topic of student debt forgiveness or student loan cancellation, draws opinion from economists, social activists, legislators, AND everyone on the internet! The opinion varies depending on if you think of education as an INVESTMENT or PUBLIC GOOD! The video also discusses the rising tuition costs, government's involvement in the student loan programs, universities offering programs and how some majors have no value in the job market and possible solutions to fix the student debt crisis.
College students are generally in an age group where they are particularly not accomplished to make the best decisions in life and may have never had financial responsibilities. So, first things first, how do we explain, to mostly 18 to 22 olds students, who can’t decide what to have for dinner, the possible financial risks of taking a debt? Because, before ‘Student DEBT’ is anything, it is a DEBT!
Societal pressure to get a college degree is greater than ever. Generations have been taught that higher education is a stepping stone and a ticket to future financial independence. BUT, is it the ONLY way?
Believe it or not, ignorance of basic economics is the biggest reason for people demanding loan forgiveness. Because most students simply don’t understand that government has no money of their own. So let’s put it simply. Government is the handler of the money, that comes from the taxpayers. When a government prints money, it is borrowed money. And if the loan is forgiven, someone would still pay for it, which happens to be the taxpayers.
You can check more about governments printing money here: • Why Can't Government P...
We sympathize with students who have been in a situation where it has become difficult to pay off their loans. We think education is vital and we are not against it in any way. But we do believe that students should be made conscious to see the loans from an economic point of view, so they could make better financial decisions.
The video presents the opinions of both the proponents and the opponents of student loan cancellation.
You can also check other topics on economy on our channel: • Economy
Economy of countries: • Economy of Countries
#StudentLoans #StudentDebtCrisis #college
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[@auoeni9321]

Well, guess I'm just too continental European to face these problems lol

[@nobilesnovushomo58]

Well I would say... this is probably in part due to less bureaucracy and less federal subsidizing of any particular educational career in the US takes (although colleges, especially more expensive ones are subsidized by the US government to such a substantial margin, that gender studies is probably enabled by them), also less regulation and taxes overall with many tax-deductions allows companies to be the most ambitious, and the US economy has kept growing while Europe has stagnated since 2008, conveniently when US had an economic collapse (which I strongly believe tied it's economic models with a combination of European Socialism and American Capitalism). And yes Europe has capitalism, but I don't think anywhere near the degree of America and that they were copying many systems developed and adopted by America.

[@auoeni9321]

@@nobilesnovushomo58 Yes, but the question is: Do we want to adapt such a capitalist system like the USA? In most of central Europe (Germany, Austria, Switzerland) we have the so called "eco social capitalism", which is basically capitalism, but giving social benefits to people (healthcare, retirement payment, etc.) and regulating the market also on environmental factors. It's a well balanced system, which I personally would prefer over the hard US-American capitalism.

[@social3ngin33rin]

Yep, I was homeless for part of my degree and lived off $20/week for food. Yes, schooling prices should somehow be lowered. Trade school jobs actually pay a lot more than many university degrees.

[@mosesmuhane]

1 week after discovering this channel, am addicted to economics and I hope this channel blows up ⬆️

[@EconomicRaven]

Thank you 🙏

[@cisco9281]

One step forward would be for colleges to stop stupidly funding all the "entertainment" they offer that would definitely bring the cost down

[@fridgemagnet9831]

And cut out fluff from curriculum.

[@cisco9281]

@@fridgemagnet9831 yep get rid of all the bullshit general ed. In European countries hell even in 3rd world countries you go straight into what you are studying. No extra bullshit and you finish in 3 years as opposed to 4-5.

[@fridgemagnet9831]

@@cisco9281 yeah, I agree. And use technology to cut down on some in person lectures and exams.

[@sagmilling]

This is a demand problem, not a supply problem. As the video says, people are being lied to in order to create demand for silly programs. Choke the demand, not the supply.

[@grafspee45440]

I really hope your channel blows up because it is a beautiful way to present these arguments and not leaning too much into one bias.

[@EconomicRaven]

Thank you 🙏

[@MaxShovel]

The fact that you should be educated before deciding on your education to not fall into live-long debts is the most american thing i have heard today :-) Coming from switzerland where we have different systems that integrate into each other and are heavily subsidized by our goverment makes me all the more proud of my country :-)

[@Anti-Taxxer]

"Heavily subsidized" means you, the taxpayer, are *forced* to pay for it. You have no choice. It is literally extortion. You have nothing to be proud of.

[@AIRRAZOR44]

Yet - the US churns out the most innovative companies, has the most prestigious schools. The math ain't mathin'

[@kampakala1544]

Nice to see a video with "why should be cancelled" and "why should not be cancelled"

[@jessicamoore4399]

Its good that you presented the arguments of both sides!

[@EconomicRaven]

thank you

[@kykeon22]

Why college I so expensive in USA? Maybe that s the real problem. In other countries college are way less expensive, if not free. And they are good college, very good like epfl in Zurich which costs only 1000 eu pro semester.

[@boss641]

I'd say that was one of the best of your videos

[@EconomicRaven]

Thank you 🙏

[@masterpiece918]

I like that you adress both sides and provide a possible solution to the situation at large that could work for both parties. Great video once again!

[@EconomicRaven]

Thank you 🙏

[@clumeroo]

Is your name 'Economic Raven' an Animal farm reference by any chance? I have always wondered, and after seeing you (cleverly) make an AF allusion ('all degrees are equal but some are more equal') in this video, I had to ask! Thank you again for the intelligent and neutral content

[@EconomicRaven]

No it’s not. But we are glad someone noticed an Animal Farm reference inside the video. Thank you for watching 🙏

[@ahtheh]

Some comments are equal but some comments are more equal Especially when they get a heart

[@hz9537]

It'd be great if you follow this up with one on european countries and how they keep their education cheap or free.

[@EconomicRaven]

thank you for the suggestion!

[@rachadelmoutaouaffiq8752]

AMAZING !!!!!!!!

[@nobilesnovushomo58]

6.50 for a cup of coffee?! Now I want to crush them all the more! I hardly ever go out, and am moderately successful. This level of being spoiled is just conceited. *"Drink McFrappes and stop going to Starbucks. It isn't my fault your horrible with money."* "Getting a job should not be the only reason to get an education." Yes it is. To seek employment at a job that has a demand pool that is at least livable among the myriad of a person's interests and talents, to pick a viable profession that is somewhat related to a person's passions, to train them to be so well suited and rounded for a discipline their are better odds of employment and capability. Basically a person's sense of self worth is tied to the esteem they see in their work and their company, in their own eyes, and in the eyes of others in their own eyes. A person that doesn't have employment they see value in feels their life has no meaning and is without value and personal enrichment. The field has to be valued by others or presented as valuable to others or else that field will receive no funds, and their workers as well. The military is remarkably efficient with their money, partially because their budget isn't unlimited; only 16% of the Federal Budget goes to the military, while around half goes to SocSec and Health and Human services managed directly by Washington Bureaucrats, and yet the military's machines and personnel can be found almost everywhere and have a global presence. And the wars in the Middle East are so that gas prices are stable and international trade, as well as commerce in the United States is assured so that these people can continue to go to work and everyone have prospects outside the cities and coastlines, an underlying economy which in a large way contributes to their own economic wellbeing.

[@damnoish]

Despite the sky high prices, most large educational institutes like Harvard are tax exempt organisations in US. Also, despite the overall informativeness, you could tone down a bit towards the end and make it a more neutral / professional presentation.

[@_new_guy]

Sick opinion piece

[@tomasleopoldoriviere7786]

How about you create good and free public universities, that are desirable and reputable, so everyone can have the chance to study.

[@nakosimpson7459]

Nop

[@Think_Inc]

This channel deserves 100 times the subscribers it currently has, if not more!

[@EconomicRaven]

Thank you for the support 🙏

[@kumarmanjeet6704]

Well I don't know about students debt but one thing that I know is that banks nowadays loan that money which they don't have it means they just make it digitally and loan it to students... The moment it is handed over to students it becomes a debt... Banking system is totally a scam

[@stormrider01]

In Germany education is free. And Students can earn money.

[@LDZMarder]

It will never be forgotten or forgiven. The debt is the chain that keeps the "educated" people in a failing country by the chain. If they forgive it you are free to go and do what you want every where. If your in debt your stuck.

[@hassanshah5442]

love form Pakistan

[@patrickrico3418]

You lost me at 1:02.

[@reinoterve608]

LOL 3:42 strange how many of the arguments against is " I suffered so the future needs to suffer aswell if not its unfair"

[@cisco9281]

That's America for you

[@leytonval6346]

but it is unfair tho?

[@ijs8548]

i think some people just like to complain a lot and they will find a way to do so no matter what ,instead of appreciating of what they have here im foreigner in hungary the goverment give schoolership for all citizen, the schoolership is enought to pay there full bsc education so if ur major is 3,5 years it will cover 5 years so if you fail 1 year it covers it, if they finish in time they can finish there msc as well (med studnets get extra years ) and they also get monthly allowance not much but enought to live a sudent humbled life, ofc you can work easly for extra cash, but they always complain like if they fail a course for 2 times already and they get 3 dollars charging fee omg will they complain for hours , it piss me off as person came from 3rd world country and seeing them complaining about the simplest things

[@colinmccullough8404]

I’ve seen other videos from this channel and have enjoyed the well presented economic facts. This video however was a let down. They rely heavily on cliches and tropes…. It’s clear they think anyone who supports debt forgiveness is some whiny millennial who chose some mindless major and it is unfair and unwise public policy for the rest of us to pay for it. Well that’s fine if that your POV. But why pretend to display the two sides of the argument? Just say you don’t like socialism.

[@connorblair6438]

This video spends a majority of its time talking about misconceptions around the value of education, how the current market for education is fluctuating away from college education in response to un-related to their field majors, and presenting solutions that follow common world wide practices including socialist views. It outlines that the only option for obtaining a high value education is to take predatory loans. It spends nearly half the video litteraly suggesting we tell the government to make education free, which would equally distribute the cost of running a college in our tax payer money rather than leaving it to a private entity to raise tuition as high as the capitalist market would allow it be. This video does allude that taking long term loans with high interest rates is risky and therefore unwise or dumb (which it is seeing as their is no garuntee to returns in the investment of an education) but the video kindly remarks that he and almost everyone else has sympathy to the fact that all education across the board is unreasonably expensive hence why, and i quote from the video "companies are beginning to hire programmers who are able to display competent skill despite not having a degree" so he proceeded to explain its not peoples faults for taking loans and its not their fault education is so hard to obtain, in the early 2000's a pricey college education was one of the only promising options for achieving the american dream of debt free and stable income, which no one is stupid for chasing. Therefore this video is not anti socialist, does not (intentionaly) attack young college students, and primarily advocates for a somewhat socialist approach to handling the issue of overpriced college tuition

[@Anti-Taxxer]

No. What happened to personal responsibility?

[@Chuby_ubesie]

Don't bite of more than u can chew. Sew ur cloth according to your size.

[@AmericanAntiCorruptionAct]

Student debt cancelation stimulates the economy more than giving billionaires trillion-dollar tax breaks.

[@ilhan1936]

There are so many misconceptions in this video and I dont have time to point every one of them individually. Just look into the German university system. You obviously didn't look into other precedents that work so much better than the US system. Lazy effort on this one.