Student Loans and Economic Prosperity

The student debt crises has made the news and the editorial section of the Washington Post. Absent from the discussion so-far is the effect of student debt on the economy. Both Obama and Romney want to stimulate the economy to reduce unemployment. Yet, at the same time they are promoting the use of low interest government guaranteed loans to encourage people to attend college. Getting a higher degree is very desirable, but the students are graduating with a massive debt burden. What this means is that, instead of consuming they are working to pay-down debt. This is a drag on the economy.

Tom Toles of the Washington Post

Besides the economic drag of paying down debt, the sad economic reality is that low interest government guaranteed loans, actually increase tuition and make college less affordable.  The coming student loan boondoggle will be very similar to the housing bubble and fraudulent Green Energy programs (Solyndra) and will someday burst. Similar to the housing bubble, cheap easy to obtain loans are ripe for fraud. Obama just recently addressed the issues of diploma mills.  Disingenuously, Obama, by promoting cheap easy to obtain loans, is actually promoting the growth of diploma mills. Want to slow increases in tuition and minimize the fraud of diploma mills, end all government guaranteed loan programs.

Romney’s: “A Better America Begins Tonight”

Romney gave an excellent speech tonight.  “A Better America Begins Tonight” One can only hope that Romney is not imitating Obama's rhetorical game of distraction and deception. This speech was unusually positive, Romney stated: "Tonight is the beginning of the end of the disappointments of the Obama years and the start of a new and better chapter that we will write together". But in prior speeches Romney has called for a stronger military and a "surge" in the "war" to protect so-called "intellectual property". This has left me with the impression that Romney is just another "big" government politician claiming to be just the opposite.

In this speech Romney, like Sanatorium's speech prior to Sanatorium's withdrawal, seems to have usurped Ron Paul's message of liberty. Romney stated: "I have a very different vision for America, and of our future. It is an America driven by freedom, where free people, pursuing happiness in their own unique ways, create free enterprises that employ more and more Americans."

Mr. Romney asks: "I want to hear what’s on your mind, hear about your concerns, and learn about your families. I want to know what you think we can do to make this country better…and what you expect from your next President."

Mr. Romney, I hope that your staff, when trolling the web finds this blog. Bluntly, restore liberty by repealing many of the laws that are taking away our liberties, such as the Patriot Act. Restore copyright and patent law to what was originally envisioned. As a business professional, I would hope that you realize that copyright and patent laws are now obstructing business, stifling innovation and discouraging entrepreneurship. You have made assertions that China is "stealing" US so-called "intellectual property", but China owns much of the US debt so they can simply buy that technology while US companies squabble in court over who owns what, instead of innovating.

Mr. Romney, if you mean what you imply in this message, unwind the laws that have reduced civil liberties in the name of "national security" and the protection of so-called "intellectual property." You say that America's future is driven by freedom. I hope that you are not mimicking Obama's razzle dazzle techniques of rhetorical manipulation.