What Went Wrong With Federal Student Loans?

Constantine Yannelis, an Associate Professor of Finance at the Booth School of Business, sheds light on the U.S. student loan crisis affecting over 45 million borrowers. He discusses how decades of federal regulation and de-regulation have led to a staggering $1.6 trillion in debt. The rise of for-profit educational institutions is explored, alongside the challenging impacts of recent policies like the Biden administration's loan forgiveness efforts. Yannelis emphasizes the necessity of accountability and targeted solutions to navigate this multifaceted crisis.