Re:U.S.A., Land of Limitations?
by dragonwriter on Tuesday August 11, 2015 @02:57AM
(#10039452)
> Subsidized loans are subsidies
They are subsidies on the cost of borrowing money, but not on tuition (except at a very small ratio); but they act (in terms of effect on tuition prices, for the reasons discussed in my previous post) like a much larger direct tuition subsidy. because of this, it is much more likely that loan subsidies have a perverse effect on affordability than grants.
They are subsidies on the cost of borrowing money, but not on tuition (except at a very small ratio); but they act (in terms of effect on tuition prices, for the reasons discussed in my previous post) like a much larger direct tuition subsidy. because of this, it is much more likely that loan subsidies have a perverse effect on affordability than grants.