See 4 Reasons Why Bill Bennett and http://finance.yahoo.com/news/studen...100500789.html
The US government guarantee of bank student loans gave a massive boost to private colleges charging high fees,many of them marketing their degrees to people with low levels of education. As a result,college dropout rates are high,with high student loan default rates.An important question is whether college dropouts gained some value from their limited educational experience,possibly in enhanced social skills that would make them more employable.
US high school exam results provide a good prediction of college graduation prospects, suggesting that student loans should be restricted to students who have a good chance of graduating.If students think that's unfair,they should resit their high school exams or the equivalent.
The standardised national Irish Leaving Cert results should be an even better prediction of college graduation prospects than the US high school diplomas which vary in quality between schools,never mind US states. This should enable the government to devise a student loan programme that doesn't need much of a subsidy,probably a small scale programme to begin with. In coming years,many families will need the assistance of student loans as it is likely that student registration fees will double or treble in the next five to seven years to finance the funding requirements of Ireland's chronically underfunded third level universities.