Thursday, February 25, 2010

Monumental Scam Leads To Indentured Servitude

"Everything the government touches turns to crap."
--Ringo Starr

Charles Hugh Smith on the Student loan racket

Student loans are a classic simulacrum of "helping the citizenry:" the real purpose is to support bloated bureaucracies and create highly profitable debt instruments.

The time has come to end the student loan charade/scam/rip-off. Cloaked in the language of "helping the citizenry get a higher education," the entire student loan system is instead a classic simulacrum: behind the propaganda, it is nothing but a highly profitable funding mechanism for bloated, bureaucratic "higher education" fiefdoms and yet another debt instrument which profits Wall Street and banks while indenturing the citizenry in a perverse form of lifelong servitude.

I am not saying this to be contrary; it's simply stating what is "obvious."

Here is the key to understanding the fundamental fraud at the heart of the entire U.S. financial system and one of its offshoots, the student loan industry: lowering interest rates and providing limitless credit does not make a good or service "affordable," it only raises the price.


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