I forgot - aNOTHER reason why Obama wants to nationalize the college loan marketplace
I've only been looking at this from the aspect that Obama would be inserting the Government into the marketplace and displacing those private entities that were serving the public. Jobs lost, businesses lost - frankly, tell me one spot, other than specific instances of crony capitalism, where Obama has championed the private sector in both words and deeds?
Here, Erick brings up another aspect: When an institution takes Federal money, it is subject to Federal regulations - and Lord knows that Obama and crew are all about creating more and more regulations.
When Obama takes to the podium for the State of the Union, one of the things he is allegedly going to push is a wholesale federal take over of the student loan industry.
Already, his plans are causing a lot of students, particularly of private higher ed colleges and universities, problems with getting financing for education. Obama intends to shut out the usual third party lenders and put everything within the federal government — under a program that has been shown repeatedly to be highly inefficient and burdensome for academic institutions.
More troubling, by putting everything under the Department of Education, universities and colleges will be forced to adhere to federal rules, some of which conflict with the values of sectarian institutions that presently use the third party student loan system for their students.
The feds controlling the student loan industry means the feds get to tell academic institutions what values they can and cannot promote among the selection and disciplining of their students.
Bottom line: Obama, with one stroke of the pen, will not only nationalize the financial end of the equation with the students, but will also be in the position to "nationalize" the colleges and universities via HOW that money can be used on behalf of those students that have taken Federal monies.
If you hold values other than secular humanist ones, watch out.
A sad two-fer. Another reason why a limited government is preferable to this that forces ITS values (re: the values of the ruling party and bureaucracy) on you.
Don't believe me? Look what happened to the banks, the car companies, the insurance companies, et al.
