“Student loan debt continues to grow even as consumers reduce mortgage debt and credit card balances. It remains the only form of consumer debt to substantially increase since the peak of household debt in late 2008.”-Donghoon Lee, Federal Reserve Bank of New York

31 May 2012, the Federal Reserve Bank of New York reported a huge increase in student loan debt, from the 1st quarter of 2003 to the 1st quarter of 2012: “…student loan debt has substantially increased since 2003, growing $663 billion.  Outstanding student loan debt surpassed credit card debt as the second highest form of consumer debt…”

Student loans now stand at $904 billion USD! Also: “…delinquency rates for student loans steadily increased from 6.13 percent in the first quarter of 2003 to its current level of 8.69 percent.  They remain higher than that of mortgages, auto loans and home equity lines of credit…”

Of course student loans are up, more and more people who can’t find good jobs are going to college with the hopes that an expensive degree will get them at least a “good” job.

The problem is that unAmerican Corporate America is not creating enough good jobs to employ all those highly edumacated workers who’ll need really really good paying jobs in order to pay off those student loans.  The latest estimates are that 362,000 net new jobs must be created every month, for three years straight, before there’s any true economic recovery!

 

In the study of revolutions and civil wars you’ll discover that one of the primary ingredients to social collapse is a country with not only a huge number of unemployed people, but a huge number of highly educated unemployed people!