The Corner

Forever Blowing Bubbles

Glenn Reynolds writes today about the higher education bubble:

Pretty much everyone agrees that the increases in tuition (which have vastly outpaced consumer prices and family incomes) and the growth in student-loan debt (which now exceeds credit-card or auto-loan debt) are unsustainable. As economist Herb Stein famously said, something that can’t go on forever, won’t. So, how should we respond?

For students, piece of advice No. 1 is: Don’t go into debt

Debt is what gets people into trouble in bubbles: They borrow heavily because they think the value of what they’re buying, whether it’s a house or a tulip, will go up. When it stops going up, they’re sunk.

Today, the value of an education isn’t going up, but the price is. That’s a bad combination. So don’t borrow heavily.

Aside from the fact that most “higher education” is not really “higher” and much of it isn’t “education” in any sense, there is a tragic element to America’s structural defects. For most people seeking to avoid being upended by the vicissitudes of life, it used to be fairly straightforward: 1) get an education – you’ll always have “something to fall back on”; 2) buy property – your investment will be “safe as houses”; 3) take care of your health. Government distortion of the market has ruined three key pillars of stability. There isn’t a lot left to wreck, but I’m sure they’ll come up with something.

Mark Steyn — Mark Steyn is an international bestselling author, a Top 41 recording artist, and a leading Canadian human-rights activist.

Most Popular

White House

Out of Order

A  question in the spirit of Donald Trump’s tweets this morning might be: Who’s trying harder to crash U.S. markets, the president of the United States or the president of China? After Federal Reserve chairman Jerome Powell didn’t forecast the loosening of monetary policy that Trump craves and China ... Read More
Film & TV

Netflix Debuts Its Obama Manifesto

This week’s widespread media blitz heralding Netflix’s broadcast of its first Obama-endorsed presentation, American Factory, was more than synchronicity. It felt as though U.S. publicists and journalists collectively exhaled their relief at finally regaining the bully pulpit. Reviews of American Factory, a ... Read More
Politics & Policy

Capital versus Tucker Carlson

Advertisers do not advertise on Tucker Carlson’s show to endorse the views of Tucker Carlson. They advertise on his show for the same reason they advertise elsewhere: a captive audience — in Tucker’s case, the second-largest one in cable news — might spare thirty seconds of attention that will, they hope, ... Read More
Natural Law

Are Your Sexual Preferences Transphobic?

Last year, a study exploring “transgender exclusion from the world of dating” was published in the Journal of Social and Personal Relationships. Of nearly 1,000 participants, the overwhelming majority, 87.5 percent, irrespective of their sexual preference, said they would not consider dating a trans person, ... Read More