When is this bubble going to pop?

When is this bubble going to pop?

What will the consequences be?

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>almost tripled in ten years

That's not even close to a bubble. If the debt were 50T, then it would be a bubble.

5T, not 50.

So when do you figure it will become a bubble?

How can this growth be stopped or slowed?

it will enter bubble territory at 2.5T if it goes there within the next year. the whole concept of a bubble is that smart money pushes a new product into the mainstream, using the mainstreams liquidity to exit their positions and realize their profit. (which they use to create the next bubble)

How to fix? Quit publicly funding education.

bubbles have to do with the ability to pay, not the gross amount of debt, numbnuts

student debt doesn't go away.

Th-that doesn't sound right at all

Will this be a slower 2008-tier mortgage loan-tier bubble?

google.com/#q=economic bubble

Public education will be reduced greatly when Trump becomes president. Private schooling will become the norm.

That's probably a good thing though. Public education in both Canada and the United States has become a net drain on society and no longer produces people with any kind of intellectual merit tbqhwyl

It's a bubble when it is overvalued or over-levered, not when it reaches some arbitrary value.

It will be a very good thing. The personal freedom minor gains plus the economic freedom gained through less taxation is a very good thing.

The thing is, is that bubbles are an economic pattern that follows very specific rules. Smart money gets in, pushes the product, and then gets out using mainstream liquidity. If you study historical bubbles, you'll find more often than not, it's a rise of price by 10x over a period of five years. The reason for 10x is due to the death valley and a few other things that comes along with stages of investing. Go look at the gun industry, social media industry, fast food industry, and historical industries that went through the same cycle. You'll see a majority of stocks rising in price 10x.

>quit publicly funding education
no
>fund education only for majors that will pay back
yes

no more 100,000+ loans for people to get a woman's studies degree for fucks sake, but we need upward mobility provided by education available to people who are actually smart.

Colleges and Uni's weren't originally for getting people jobs...

As such, it should be up to corporations to train their employees. I mean, no one in today's age uses anything they learned getting their degree at their career. If anything, they went into a career completely not even related to their major.

The government doesn't find public education en masse. They simply guarantee the loans.

Completely analogous to saying the government funds FHA loans. They don't.

>no one in today's age uses anything they learned getting their degree in their career
STEM here, chemistry. Yes, I do. Worked internships as well as research, all very important stuff.

Sounds like you're way overgeneralizing. Colleges are stupid inefficient, yes, but we as a country are moving towards a largely educated workforce. Companies aren't willing to take the risk when they're already hiring so few people that baseline jobs require 5+ years of experience.

>doesn't fund public education en masse
pell grants, you'd be surprised how easy they are to get
I'm not sure what you're saying about the loans though, the government promises to each person a certain amount of money available for loan, be you a failing nigger applying to a basketweaving course or the next bill gates.

It shouldn't be the govt's. responsibility to train workers for corporations.

If it does I don't give a fuck because I've been paying my way a semester at a time

youtube.com/watch?v=s6a_0zJDsr8

so, what, you're against public schooling?

>bubble is trade in an asset at a price or price range that strongly deviates from the corresponding asset's intrinsic value

thanks for proving me right

>What will the consequences be?

Meltdown.

have you seen a public school?

They're generally total shit and full of non whites

There's a reason you have to send your kids to private school these days or move to a super rich neighborhood unless you want them to turn out retarded.

I keep saying this so many times. College professors have never agreed to train employees to be "work ready on day 1." Training an employee to work a job straight out of high-school was how it worked since the dawn of humanity. This is incredibly selfish and foolish from the Baby Boomer generation to have this bizarre idea that college professors are for training employees to work for them.

> I mean, no one in today's age uses anything they learned getting their degree at their career.
People don't use 0% of what they've learned in college on that job, but they don't use 100% of it either. They probably only use 10% of what they've learned in college on their job.

This is a major problem in American culture that the Baby Boomer generation thinks that college professors are for training employees to be work ready on day 1, and they don't have to invest their time and energy into training their employees. This is a cultural problem, and its going to take a major change in the views of the people have. Its not something a politician can change alone.

Monday Morning
There will be riots.

Extremely so. They are extremely inefficient, they restrict the freedom of minors, and they restrict the economic freedom of the parents. (also the freedom of the parents since they go to jail if the kid misses more than three days in a school year.)

Yes, when the smart money pushes a product into the mainstream, the price deviates from the intrinsic value. They HAVE to push the product. They don't just invest and sit there. In pushing the product, they have to spend money on ads and whatnot. (which is why 10x is still the golden number)

tbqh I think that there should be something done

Option 1: You can change your debt into a fannie mae loan so you still need to pay the government but now you are paying a useful home loan rather than a useless college loan -- millennials will rush to do this and the home industry will boom again

Option 2: Let people bankrupt their student loans again

Option 3: Completely go into 1.3T more debt BUT students must agree to accept 5% more taxes per year on income

I think either of these would fix the problem accept I am not a mortgage broker so not sure about #1 but it sounds cool.

>t. A fag that still lives in or around a city

Rural public schools are where uts at, especially if you're worried about the ebil non-whites.

never
nothing is going to happen
it will be a slow thing and you won't do a thing except suck big buckets of shit down
these threads are for shitlords

you're limiting upward mobility and discouraging the working class

I know public schooling is shit but we NEED an educated society because we can not compete with China (and I do not want to, average income of 5k/year? fuck that trash).

Millennial students want to major in useless fields at expense schools and live in luxurious dorms, many treat college like an extended vacation.

Loans are encouraged by the government because of the heavy ties to the financial sector. They make the money easy to obtain. The banks get to add more debtors to their records at low risk since the loans are backed by the government.

Schools raise their tuition every year to give lucrative salaries, bonuses, and benefits to the administration. They also are increasingly adding layers of administration that are more and more removed from the goal of educating students.

>Millennial students want to major in useless fields
But humanities enrollment is on the decline. The problem is that people feel they have to go to college without actually wanting to go, so whether they decide to major in English because it's fun without any actual interest in the kind of work that can lead to or take on a STEM major and burn out in their third year, they're fucked and will either drop out, fail out, or scrape by just enough to appear amazingly mediocre at the end.

Half of the STEM graduates do not even end up working in their field. There are too many people with degrees period. Both useless and useful degrees.

It seems like most people here don't realize that the government basically tool over all loans in 09 or so.. there are no private entities providing funding for FASSA monies.. student loans are basically Quantitative Easing

Pretty much this, the careers in STEM fields are not growing at teh same rate that the amount of degree holders in STEM are increasing.

Just basic supply and demand. Immigrants coming in with STEM degrees, universities accepting anyone with a pulse to STEM degrees, and the indoctrination that UNI IS GUD 4 U GOYIM from an early age.

And this isn't coming from some bitter trade schooler or NEET, I'm in chemical engineering and the majority of people at my university are simply braindead and only care about the $$$. Hopefully I can get into research and actually contribute something.

It won't pop as it can not be forgiven.

The only thing it can do is impoverish the citizens forcing them onto Food Stamps resulting in higher taxes bringing down the total able bodied work force and giving us a socialist paradise

Student debts never make sense to me.
You hurt the smart students who could repay the debt at a far faster period by lumping them in with the dumb students who will never earn enough to pay it back.
You hurt the dumb students who take out massive debts not realising it's not possible for women's studies to pay back the amount they owe and leave themselves with an ever growing debt.
You hurt the banks who give out very large sums for very little return to people with no credit record who have a very long period to pay it back.

College is the only mistake I ever made that I didn't learn anything from.

They don't hurt the banks. If they banks didn't think it was feasible then they wouldn't loan their money out. Since they are almost guaranteed to have people paying their debt in this life or the next then why not issue out student loans? If people don't pay the loans they will just accrue more debt.

The government didn't like people declaring bankruptcy on student loans so they made it extremely hard to do so now. Things would be different if the government wasn't meddling in such affairs. But man, do we ever need debt slaves.

The period to gain a real return greater than interest is far lower than a mortgage if not non existent. No sane bank would if not forced by the government ever give out student loans. They don't make sense.

far greater sorry* - basically the money loaned could have been loaned elsewhere and with a far greater return which could be in turn loaned for more money back and so forth. Freezing up money to give to students is really not good for banks.