Sept. 22, 2020

Is the student debt crisis really a crisis?

The amount of student debt here in the U.S. is some $1.6 trillion, roughly the size of Russia’s economy. That sounds like a crisis...right?

Maybe not. Today on Business Casual, we’re exploring student debt and the narratives that got us where we are today. It’s pretty obvious that 1.6 trillion anything is a lot—but some experts think that debt load is but a number in this case.

  • One such expert is our guest—Dr. Beth Akers, an economist with the Manhattan Institute who makes talking about remittance and interest rates and tuition costs feel way more fun than you’d expect.

 

As Dr. Akers and her cohort see it, student debt isn’t all that bad. Repayment rates are high, the benefits of borrowing usually outweigh the costs, and college is still considered a ticket to a better life. The real crisis, then? The narrative of crippling debt hamstringing an entire generation. 

Let’s debunk some myths. Listen now.