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A comment on Colleges at the breaking point, forcing ‘hard choices’ about education. Parent comment

Re:Colleges at the breaking point, forcing ‘hard choices’ ab... by BobbyJo on Thursday April 30, 2020 @06:30PM (#23036991)
If it's a bad bet for the bank, that just means it is a bad bet on average and right now. The thing is, a student can know a lot more about themselves than the bank can. A student can make a bet with an extremely high expected return, that the bank would be unable to appropriately risk-price.

The problem with the current system, is we don't force the students to understand the price of the risk. The problem with making them normal loans is that the bank is unable to accurately price the risk. There are middle grounds, but arguments from the extremes seem to carry better.

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Re:Colleges at the breaking point, forcing ‘hard choices’ ab... by SuoDuanDao on Thursday April 30, 2020 @07:36PM (#23037546)
I once read a setting resource for an RPG system set in a multidimensional university which cut out the middleman and offered its own student loans. Predatory as Illuminati University was, it seems like a better system than what we have now.
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