In the last a couple of days, we heard many comments on how to fix US student loans problem after the Bill on student loans proposed by Senator Elizabeth Warren has been blocked at the Senate floor on June 12, 2014. The opponents of the bill cited that the proposed bill has no impact to lower college education cost or to lower the borrowing. AAEA has mentioned the possible flaw of the Bill on its January 30th,2014 assessment as written in the Association’s blog which is exactly been cited by the opponents of the Bill. Other comments reported in the media just general comments which may not even touch the substance of the problems.
The rejection to the proposed bill may indirectly show the opponents’ support of the regulator’s CAR (College Affordability Rating) proposed on August 22, 2013 which aimed to curb reckless college spending practices that have driven education cost up uncontrollably. The Association has completed other studies which statistically show and prove that the US college administrators do not operate and apply minimum cost paradigms in managing their respective institution. They have their own agenda and unfortunately the agenda may not be in line with the American public’s and students’ interests.
The student loans is such a big mess so it will not and cannot be solved only by one or several bills and it cannot be strategically handled quickly in a pretty short time. The defeated bill is just a small step to “ease” the problem which may help solving a miniscule part of the existing problems which have been built within an inefficient system in the past hundred years. The law makers need to work harder and smarter than just concern with short-run problems. The motivation to write a bill not just to gain the votes needed in the re-election process. Rather it should be based on serving the best interest of the United State of America.