Her Very Costly College Education
This young woman bought herself a financially worthless sociology degree for $200k in student loans. She regrets it. She should. She admits now that she was “delusional.” Those delusions were propped up by “student loans are good debt” advice from financial morons posing as guidance and admissions counselors.
An idea that some students may want to consider is going into business rather than going to college. Peter Thiel, billionaire co-founder of PayPal, recently launched an initiative to encourage students under 20 years of age to focus on their entrepreneurial ideas as opposed to dutifully fulfilling the expectation for college. The Thiel Fellowship offers $100,000 each to twenty young people who are willing to put their education on hold in order to pursue these ideas.
That’s an approach worth considering.
The “student loans are good debt” advocates love to cite statistics about how much more money college graduates make. I call B.S. on those statistics for two reasons. First, while I concede that certain college degrees can mean greater earning opportunity for motivated students, a correlation is not the same as causation for all students and all degrees. Second, I direct your attention to more current data from the Bureau of Labor Statistics:
- In 1992, 17.6% of all college graduates were working in non-college level jobs. By 2008, this percentage had doubled to 35.2%.
- In 1992, 119,000 waiters and waitresses had college degrees. By 2008, this number had almost tripled to 318,000.
With for-profit colleges seemingly multiplying like rabbits, this sad data is destined to get worse. Unfortunately, parents don’t get it. Families are misled by guidance and admissions counselors who have a vested interest in sending everyone to college, even if it means putting the poor kids on a heavily loaded student loan train to get there.
Here is a link to the complete essay: My Very Costly College Education