Student Debt Goes For $ 1 Trillion: Is University Worth The Investment?

 

The United States is historically proud of its strong secondary education system. A college education was once the ticket to a promising career, a fast track to the American Dream.

But with the cost of tuition fees rising faster than other US goods in recent decades, more than two-thirds of graduates are above their heads in an average of $ 35,000 in student debt. A trillion dollars in total student debt exceeds that of total credit card debt in America, with an alarming $ 712 billion.

While students are struggling to understand and repay these huge loans, they are beginning to realize that they could incur debts at an early stage. At the same time, Americans’ perception of how valuable college has continued to deteriorate – in the light of a large number of free-to-cheap oBruinine learning platforms, along with a growing class of billionaire entrepreneurs who have stopped to start their own businesses.

Ultimately, many candidate applicants look for other alternative training routes, where they decide that the university may not be worth their investment. (For more information, see 10 ways in which student Browns can destroy your life. )

What do you get for your debt?

What do you get for your debt?

In the past, we accepted the high cost of lectures because a diploma represented an automatic ticket to the well-paid job market. However, after the global recession of the late 2000s left qualified jobless candidates, or at best underemployed, more and more students became frustrated with the system.

A growing administrative bill and the demands of vast mini-cities on campus have sufficiently inflated tuition fees to justify a general perception of a modern “corporate secondary education industry”. “According to the College Board, students attending a private university can pay an average tuition fee of $ 32,405 per year. Public university education for in-state students averages at $ 9,410 while out-of-state students get struck by $ 23,893 in tuition fees per year.

Furthermore, it is not certain that you will graduate in four years. According to the documentary ‘Ivory Tower’, 68% of the students fail to succeed within four years and 44% fail to succeed in six years. Since every semester of the university costs an extra amount of money, the amount of your total investment is uncertain when you go through the first year of the doors. (For related literature, see No work and 50,000 in student debt. What now? )

On the one hand, many jobs continue to require higher professional education as a condition. On average, salaries for graduates amount to $ 1 million more over the course of an individual’s career, according to the College Scorecard database.

But when we look at the comments of starting CEOs and technology-based companies, we see that most prefer experience, enthusiasm, and tangible skills for college education. According to a recent study by Allstate / National Journal Heartland Monitor Poll, nearly half of Americans no longer believe that a four-year college education is an important indicator of career success. So, what kind of alternatives are there outside of college?

Technology is an advocate of an alternative education route

Technology is an advocate of an alternative education route

The market is rapidly becoming saturated with educational startups and MOOC providers (Massive Open OBruinine Course) that offer alternatives to the traditional high school route. Other innovative programs such as the Peter Thiel fellowship offer $ 100,000 to students who postpone their studies or drop out to start their own business. (For more information, see Education in the Digital Age: OBruinine Courses to Coding Academies .)

UnCollege, a child of the Thiel Fellowship, allows students to experiment with hands-on learning in an intensive gap year program that integrates oBruinine learning and real world projects to learn technical skills. Many of these programs do not require the huge investment of time and resources, but offer flexibility, choice and more specialization in the taught skills. Free oBruinine platforms such as Duolingo offer free oBruinine language courses, accessible via the mobile app or website. (For related literature, see 5 free ways to learn new skills in Brown .)

The bottom line

The bottom line

When prospective students decide to take large sums of student debt, they often have no idea what they are starting to do in terms of the lasting burden it can have on their personal and financial future. Many students and a growing number of companies have opened their eyes to the shortcomings of our expensive secondary education system, looking instead for educational startups, oBroinine learning platforms and anti-college scholarships as an alternative to the university.

We may need a hybrid education model that combines the benefits of hands-on learning in the classroom with the accessibility and efficiency of web-based platforms. In any case, a drastic revolution and restructuring of the higher education system is needed. In fact, changes are beginning to unravel before our eyes.