Wednesday August 29, 2012
Dave Ramsey reveals the one and only way to discharge your student loan debt to Sallie Mae without actually paying it off. Click to find out. Death and taxes are said to be inevitable, here is one silver lining to that rule.
Students now to this blog should be aware that I for see a Black Swan event in terms of the trillion dollars of student loan debt out there. Nassim Taleb has written about random behavior of events. His point is that they occur more often than people think upsetting conventional wisdom.
The student loan debacle has all the earmarks of the sub prime mortgage crisis.
- Everyone believes the government is behind the loans.
- An entire industry has grown based on that belief-higher education, lavish campuses,
- All of which reaquires an infinite linear demand for more education
- The belief that the demand of education is inelastic, consumers will pay any price demanded
- There is no substitution, even if a brick and motar campus begins offering on line classes
All of these beliefs are now smack up against the reality of college graduates that cannot find jobs in their field, such as law school or humanities graduates.
There is however a demand for accounting graduates who obtain certifications in the accounting field. Plan on being in that group.
Professor Elam 
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