The effects of the Great Recession are setting in and college students are losing out.

According to a new report by youth empowerment group The Young Invincibles, “tuition and fees at both 4-year and 2-year institutions rose 28 percent since the last recession.” The national study also reported which states made spending cuts on and gave 17 of the 50 states failing grades on their budget support for public higher education.

Something needs to be done about college affordability before it spirals out of control. There needs to be a response at the federal and state level to counter this trend — a call echoed last week by Sen. Chuck Schumer (D-N.Y.) when he invited Syracuse University student Sean McAllister to President Barack Obama’s last State of the Union Address. McAllister accompanied Schumer at the speech to represent his struggle with balancing work and school in order to pay off his large amount of debt.

Sadly, McAllister’s case is common in the United States in which college costs so much that students are left with severe financial burden before securing a full-time job after graduation. According to the “2016 State of the Millennial Report” published Jan. 12 by nonprofit group Generation Opportunity, 18-29 year olds experience an unemployment rate of 8 percent compared to a 3.7 percent for Americans over 29 years old. Meanwhile, 70 percent of the class of 2014 graduated with an average of nearly $30,000 of student loan debt per borrower.

Republican voters need to know who is going to be best on this issue before primary voting commences. Luckily, the top two / three GOP primary candidates in the polls have offered ideas to make college more affordable and Republican voters need to know who is going to be best on this issue before primary voting commences.

 

Donald Trump: Businessman, current GOP frontrunner

Plan Breakdown: When asked about reducing the price of college in November 2015, Trump responded that a new federal government agency is needed. It was an interesting take given that Trump has been one of the most vocal candidates against common core bureaucrats in Washington D.C.

At an Iowa town hall meeting, he said, “The one program that the U.S. makes a whole lot of money with is student loans and that’s maybe the one program they shouldn’t be making money with.” He also has been consistently supportive of refinancing loans in order to get students going and “above water” again.

Reaction: While his plan may not be the most conservative, I think Trump is on to something. The government shouldn’t use student loans as a for-profit business. Instead, the government should be responsible and make sure that it’s looking out for the people.

As far as refinancing loans, which also happens to be more of a liberal idea, the debt is so far out of control that it may be needed. USA Today reported in August that only half of the $1.19 trillion in overall student loan debt is in repayment. Students have been stuck paying at high interest rates without the guarantee of a job, which may be a contributing factor to the current loan default rate of 12 percent, according to the Generation Opportunity report. More students should be allowed to restructure their payments to be more fair.

Trump doesn’t have the best record when it comes to higher education, though — especially for someone who is against profiting from students. In 2005, Trump tried to create a for-profit online college called Trump University, according to Think Progress. After legal issues about its legitimacy rose, Trump University changed its name to The Trump Entrepreneur and is now facing a lawsuit from the state of New York for misleading customers over not supplying degrees.

Ted Cruz: Texas senator, currently second in most polls

Plan Breakdown: While he hasn’t yet laid out a formal plan, Cruz comes across differently than Trump. Like the GOP frontrunner, he is in favor of radical reform in the Department of Education. They both claim to be in favor of cutting its funding and programs. However, Cruz has condemned the federal government’s use of aid and thinks that student loans should be left up to the states. He also opposes refinancing of loans.

As a senator, Cruz has a record of being unsympathetic toward college students struggling with loan debt. Mic.com reports that in 2013, Cruz proposed an amendment that would have made repayment plans “more punishing,” reduced grants for low-income students and moved federal loans to private banks.

Reaction: While taking federal aid out of the hands of big government is a good idea, Cruz is mostly unimpressive on college affordability for a man who claimed to have $100,000 worth of  student debt. It will be interesting to see if he introduces a plan in the near future that will be more comprehensive.

Cruz displays strong conservative morals, but merely plays the “states’ rights” card when discussing the complex issue of education. Sure, maybe states should be given more power in terms of granting student loans, but there is still a question as to how that will be accomplished by the Cruz campaign.

Marco Rubio: Florida senator, currently third in most polls

Plan Breakdown:  Rubio definitely takes the most unique and substantive approach on this issue. He told “Fox and Friends” in August, “The problem we have today isn’t just that college is too expensive, it’s that our system is outdated.”

Rubio is an advocate for a model in which private investors loan students the money to pay tuition costs. In return, those students would be asked to give a set percentage of their income back over the next 10 years, a similar idea to New York’s Pay As You Earn Repayment Plan. On his website, Rubio also lists how he would reform the accreditation system in order to let students transfer credits to traditional institutions from their real-life work experience more easily.

Reaction: Rubio’s proposed idea is a great free-market concept. It takes big government out of the equation and would allow students to pay less over a longer period of time with their disposable income. It will provide students with new ways to receive credits and eventually a degree without having to pay as many overpriced class fees. The only problem with Rubio’s plan is that there will be students who aren’t eligible because their salary in a given field may be too risky for an investor.

The Bottom Line

After comparing the three plans for the top Republican candidates, Rubio has the best plan so far by a long shot to significantly help the pocket of middle and lower class individuals pay off student debt.

Rubio has a specific plan that highlights capitalistic principles and has the potential to aid students all over the country. Even if it isn’t a perfect plan, it is the best step forward for getting families struggling to pay for higher education back on track.

Kyle O’Connor is a sophomore sport management and political science dual major. His column appears weekly. He can be reached at kdoconno@syr.edu.

Published on January 19, 2016 at 1:31 am