Best of the Week
Most Popular
1. Gold vs Cash in a Financial Crisis - Richard_Mills
2.Current Stock Market Rally Similarities To 1999 - Chris_Vermeulen
3.America See You On The Dark Side Of The Moon - Part2 - James_Quinn
4.Stock Market Trend Forecast Outlook for 2020 - Nadeem_Walayat
5.Who Said Stock Market Traders and Investor are Emotional Right Now? - Chris_Vermeulen
6.Gold Upswing and Lessons from Gold Tops - P_Radomski_CFA
7.Economic Tribulation is Coming, and Here is Why - Michael_Pento
8.What to Expect in Our Next Recession/Depression? - Raymond_Matison
9.The Fed Celebrates While Americans Drown in Financial Despair - John_Mauldin
10.Hi-yo Silver Away! - Richard_Mills
Last 7 days
INTEL (INTC) Stock Investing in AI Machine Intelligence Mega-trend 2020 and Beyond - 18th Jan 20
Gold Stocks Wavering - 18th Jan 20
Best Amazon iPhone Case Fits 6s, 7, 8 by Toovren Review - 18th Jan 20
1. GOOGLE (Alphabet) - Primary AI Tech Stock For Investing 2020 - 17th Jan 20
ERY Energy Bear Continues Basing Setup – Breakout Expected Near January 24th - 17th Jan 20
What Expiring Stock and Commodity Market Bubbles Look Like - 17th Jan 20
Platinum Breaks $1000 On Big Rally - What's Next Forecast - 17th Jan 20
Precious Metals Set to Keep Powering Ahead - 17th Jan 20
Stock Market and the US Presidential Election Cycle  - 16th Jan 20
Shifting Undercurrents In The US Stock Market - 16th Jan 20
America 2020 – YEAR OF LIVING DANGEROUSLY (PART TWO) - 16th Jan 20
Yes, China Is a Currency Manipulator – And the U.S. Banking System Is a Metals Manipulator - 16th Jan 20
MICROSOFT Stock Investing in AI Machine Intelligence Mega-trend 2020 and Beyond - 15th Jan 20
Silver Traders Big Trend Analysis – Part II - 15th Jan 20
Silver Short-Term Pullback Before Acceleration Higher - 15th Jan 20
Gold Overall Outlook Is 'Strongly Bullish' - 15th Jan 20
AMD is Killing Intel - Best CPU's For 2020! Ryzen 3900x, 3950x, 3960x Budget, to High End Systems - 15th Jan 20
The Importance Of Keeping Invoices Up To Date - 15th Jan 20
Stock Market Elliott Wave Analysis 2020 - 14th Jan 20
Walmart Has Made a Genius Move to Beat Amazon - 14th Jan 20
Deep State 2020 – A Year Of Living Dangerously! - 14th Jan 20
The End of College Is Near - 14th Jan 20
AI Stocks Investing 2020 to Profit from the Machine Intelligence Mega-trend - Video - 14th Jan 20
Stock Market Final Thrust - 14th Jan 20
British Pound GBP Trend Forecast Review - 13th Jan 20
Trumpism Stock Market and the crisis in American social equality - 13th Jan 20
Silver Investors Big Trend Analysis for – Part I - 13th Jan 20
Craig Hemke Gold & Silver 2020 Prediction, Slams Biased Gold Naysayers - 13th Jan 20
AMAZON Stock Investing in AI Machine Intelligence Mega-trend 2020 and Beyond - 11th Jan 20
Gold Price Reacting to Global Flash Points - 11th Jan 20
Land Rover Discovery Sport 2020 - What You Need to Know Before Buying - 11th Jan 20
Gold Buying Precarious - 11th Jan 20
The Crazy Stock Market Train to Bull Eternity - 11th Jan 20
Gold Gann Angle Update - 10th Jan 20
Gold In Rally Mode Suggests Commitment of Traders (COT) Data - 10th Jan 20
Disney Could Mount Its Biggest Rally in 2020 - 10th Jan 20
How on Earth Can Gold Decline During the U.S. – Iran Crisis? - 10th Jan 20
Getting Your HR Budget in Line - 10th Jan 20
The Fed Protects Gamblers at the Expense of the Economy - 9th Jan 20
Last Chance to Get Microsoft Windows 10 for FREE! - 9th Jan 20
The Stock Market is the Opiate of the Masses - 9th Jan 20
Is The Energy Sector Setting Up Another Great Entry? - 9th Jan 20
The Fed Is Creating a Monster Bubble - 9th Jan 20
If History Repeats, Video Game Stocks Could Soar 600%+ - 9th Jan 20
What to Know Before Buying a Land Rover Discovery Sport in 2020 - 8th Jan 20
Stock Market Forecast 2020 Trend Analysis - 8th Jan 20
Gold Price at Resistance - 8th Jan 20
The Fed Has Quietly Started QE4 - 8th Jan 20
NASDAQ Set to Fall 1000pts Early 2020, and What it Means for Gold Price - 8th Jan 20
Gold 2020 - Financial Analysts and Major Financial Institutions Outlook - 8th Jan 20
Stock Market Trend Review - 8th Jan 20

Market Oracle FREE Newsletter

Nadeem Walayat Financial Markets Analysiis and Trend Forecasts

What Student Debt Problem; Simple Solution ends the problem

Interest-Rates / Student Finances Aug 04, 2016 - 07:21 PM GMT

By: Sol_Palha

Interest-Rates

A problem clearly stated is a problem half-solved. Dorothea Brande

The real issue is that there are college students that don’ want to work and want to go to the best colleges money can buy, and the parents are encouraging this. What happened to the day you went to the college you could afford, and you worked to pay for all of it or, at least, helped your parents.  The problem lies with the parents and the kids; the parents are encouraging this asinine behaviour.  Today’s generation believe that they are entitled to the best of the best without having to work for it.   College Graduates that are drowning in debt, but still refuse to give up on luxuries is a perfect example of this principle in action. Instead of tightening their belts, they continue to add to the debt and then cry wolf when everything starts to fall apart.


What made the baby boomers great and all those that came to the U.S decades ago? Everyone worked hard; there were no handouts, today’s generation’s wants the best of the best, but most of them do not want to work hard to achieve their goals.   If nothing is done to address this handicap, this generation will continue to demand more and more while doing less and less.  Eventually, someone has to pay for these handouts, and this translates into higher taxes; those that work hard will have to pay more and more to support those that don’t.

Things are getting so bad now, that you have websites that glamorise the concept of having a sugar daddy to pay for your college.  More than 350,000 students belong to one of these sites, so it is a trend that is gathering momentum. In most cases, these students are going to expensive colleges as opposed to attending a state or city college where the fees are considerably lower.

Essentially what you have here are college students selling themselves to sugar daddies  to pay for their college. In many cases, the students are attending very expensive colleges and studying for degrees that are useless and won’t land them a high paying job.  So what’s the logic in attending an expensive college and earning a degree in a field that will not land you a decent paying job? Many of these students will be tempted to stick with the new trade they took up in order to pay for their college fees. A simpler and more effective solution would be to follow the simple strategy outlined below.

The solution is very simple

Stop giving these brats handouts and make them work for their Room and Board. To put it in simple terms; make them work and pay for their University fees. We performed a simple calculation on how most people could work and pay for their college.   For example residents of New York could attend CUNY (City University of New York) for $6,330 per year

Source   www2.cuny.edu/

If you opt for SUNY (State University of New York); the fees are slightly higher and come in at roughly $6,500 a year for state residents. As your kids will be going to a college close to home, they will not need to spend a fortune on dorm fees or to rent an apartment.  If they get a part time job, they should easily be able to pay the fees. It comes out to roughly $550 a month. Not only will they be able to pay their fees, but they will also be in a position to earn their pocket money.

Making them take on responsibility at an early age, will teach them how to handle finances and plan for the future, as opposed to assuming that the parents will pay for everything. In fact, at this point, they could even be encouraged to put some money aside and invest it in the markets. You as the parent could offer to match whatever they put aside, sort of like the incentives some companies offer their workers for putting money into a 401k plan.  It has been shown time and time again, that the stock market and real estate market produce the most number of millionaires. 

Who knows having to start working and planning at a young age, might make them more open to understanding the concept of hard money.  Today’s generation does not even know the real definition of inflation; they assume that a rise in prices is the definition, when in fact, the definition is an increase in the supply of money and prices are only the symptom of the diseases. A basic understanding of this concept would show them why in such an environment where the Fed is hell bent on inflating the money supply to infinity, owning some Gold or Silver is essential. For now, this generation views Gold and Silver as some ancient relic. 

Conclusion

The student debt crisis is only a crisis because gullible parents are supporting spoilt brats, and allowing them to believe they are the chosen ones, when in fact, they are not. This debt problem like most of America’s debt problems comes down to mismanagement of finances.  One should not live like a king on a soldier’s salary. When someone has to work for something they appreciate and value it, when they are given handouts, they show no appreciation and demand twice as much.  The student debt problem is due to plain stupidity and bad planning.   The solution is simple, live within your means, work hard and spend less.  Remember the saying for its highly applicable in this situation ‘no good deed goes unpunished”.

Anytime you think that the problem is out there, that thought in itself may be the problem. If it is out there, then you have no control, and you have to wait until it changes.

Anonymous

by Sol Palha

www.tacticalinvestor.com

Sol Palha is a market analyst and educator who uses Mass Psychology, Technical Analysis and Esoteric Cycles to keep you on the right side of the market. He and his partners are on the web at www.tacticalinvestor.com.

© 2016 Copyright Sol Palha- All Rights Reserved

Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.


© 2005-2019 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in

6 Critical Money Making Rules