What’s The ROI of a College Degree?
This conversation NEVER gets old. Are students today being prepared to take tests or being prepared to become the next generation of American leaders? Is there an appropriate balance between Theory and Practice being taught inside and outside the classroom? Is it time to revisit the purpose of an “education” and how we are preparing the next generation? What if college graduates that met a certain GPA criteria were guaranteed a job upon graduation or receive a percentage of their tuition money back? I’m just sayin…and could go on and on but will get to the point.
Steven Eisman, the SERIOUS fund manager who had his active shorting of the subprime mortgage market profiled by Michael Lewis in his most recent book “The Big Short” is now digging into for profit education stocks and shorting all over the place.
Watch out…
“Until recently, I thought that there would never again be an opportunity to be involved with an industry as socially destructive as the subprime mortgage industry. I was wrong,” said Eisman in written testimony to a Senate committee.
The U.S. Department of Education has already proposed rules that would force for-profit colleges to release data to students on graduation and job placement rates.
It has said it will soon consider whether these institutions need to demonstrate that they prepare students for jobs before students would be eligible for federal grants and loans.
For-profit schools are run by companies such as Corinthian Colleges Inc (COCO.O), ITT Educational Services (ESI.N), Career Education Corp (CECO.O) and Apollo Group Inc (APOL.O), owner of the University of Phoenix.
http://www.reuters.com/article/idUSN2416408220100624
