Chart: US Student Loan Debt Increasing (2004 – 2012)
As the below chart from a New York Fed presentation indicates, the student loan debt problem in the US doesn’t seem like it’s going away anytime soon. In fact, it appears that total student loan balances are increasing across all age groups.
Hat Tip: Floating Path
Categories: Economics, Finance
New York Fed, student loan debt, total student loan balances
That is not a big surprise considering the rate tuition has risen. When I started at ASU undergrad in 2001 my tuition was about $1,200 per semester. By time I left in 2005 it was $2,500 per semester. Now I believe it is about $5,000 per semester. When the government stops investing in education then students have to pick up the remainder. That then binds students with huge debt that they will likely carry for decades. Unfortunately anymore you need a college degree to even be remotely competitive in the workplace.
I agree it is unfortunate that the cost of tuition has significantly outpaced inflation. There are various factors associated with this phenomenon. Here are some interesting articles regarding this subject:
http://www.forbes.com/sites/steveodland/2012/03/24/college-costs-are-soaring/
http://www.huffingtonpost.com/2012/08/15/cost-of-college-degree-increase-12-fold-1120-percent-bloomberg_n_1783700.html
http://www.cbsnews.com/8301-505145_162-57517032/why-college-tuition-keeps-rising/
So help me out a little here; each age group has a percentage that contributes to the total? Whats the exact total?
According to the chart, it appears that the total student debt balance is near $1 trillion (~$970 billion) as of 2012. Here is a related link that talks about the total student debt in greater detail:
http://www.huffingtonpost.com/2013/02/28/student-debt-new-york-fed_n_2783103.html
So, the individual percents is what people of that age contribute to that total?