Most commentaries on federal student loans speak about the difficulty of loan repayments or about the impact such loans have had on tuition fees. This commentary, however, speaks to four other possible unintended consequences of the massive increase in federal student financial assistance since about 1970. Underemployment of Recent GraduatesOne thing that even the fiercest critics of the federal student financial assistance programs will agree on is that they have increased enrollments in American universities. When the demand for something expands, in this case, because of federal financial aid, both the price and the quantity (enrollments) will rise as well. Without the huge enrollment gains partially created by federal student aid programs, likely there would have been less of this curricular dumbing down.

Source: Forbes May 21, 2018 13:30 UTC