Tag Archives: student loan debt bomb

  None dare call it class warfare

What’s Good For The For-Profit Colleges Is Good For America

As Barbara Ehrenreich noted in Nickel and Dimed: On (Not) Getting By in America, it can cost a hell of a lot to be poor. From residential motels that charge by the week (but don’t require a deposit) to rent-to-own furniture stores and predatory used-car loans, there is a thriving segment of the market dedicated to charging poor people a premium for stuff that would otherwise not be available at all. In a terrific Village Voice article, Chris Parker takes us on a tour of the double-markup inner-city bodegas of education, the for-profit college industry. Both business models are adept at converting their customers’ government aid — food stamps for the bodega, subsidized student loans and GI Bill benefits for the colleges — into tidy private profits. But where the bodega is typically owned by recent immigrants living in the neighborhood, for-profit schools are hugely profitable enterprises owned by investment firms with a well-organized lobbying arm. (Korean grocers beware: Goldman Sachs probably has you in their sights next.) Read more on What’s Good For The For-Profit Colleges Is Good For America…