Article Critique

The article selected for critiquing is written by James Marshall Crotty and discusses the woes of the students of the United States. It highlights how they are finding it increasingly difficult to pay back their student loans amidst tight economic conditions. The article gives the reference of a survey to establish that a majority of students who have yet to settle their loan debts want them to be forgiven by the lenders. It has been reported in the article that the existing rate of students defaulting in the payment of their loans has reached an alarming level, climbing up to an all-time high of nearly 9%.

In fact, it claims that the actual numbers that truly represent the current delinquency rate are somewhere around 18%. These figures have been communicated by the New York Fed. In addition to this, it is claimed that a little shy of half the loans that are granted to students in order to aid their studies are either deferred, on forbearance, or in grace period. As a result, they cannot be included in the repayment cycle.

It is indeed agreeable that the rising level of current student loan defaults threatens to exacerbate the burgeoning budget crisis of the United states and government intervention is needed in order to bailout the students from this financial burden to prevent them from going bankrupt.

The article also communicates to the reader the views and opinions of the students who are stuck in the horns of this dilemma. It cites the findings of a survey to indicate that around 65% of the students surveyed were not in favor of considering bankruptcy as a means of settling student loan debt. Additionally, a staggering 81% off all the students were at a consensus and replied positively when asked if the government should intervene and provide them with assistance in setting their debts.

Remarkably, all these students also replied on a positive note when asked whether the government should initiate a student loan forgiveness program. Graduates and students who had not taken any loans nor asked the government for financial assistance were equally in favor of the idea that the government should forgive the debt. In this regard, more than 61% of the respondents said that they favored forgiveness of loan debt. Around 54% were of the opinion that eliminating subsidies on gasoline and oil would serve as an effective measure to raise the funds needed to settle the debts caused by student loans.

The article stresses upon how the economy and the burgeoning budget crisis of the United States have become two of the most important national issues. With this, the article suggests that the results of the upcoming polls will be heavily dependent on what the views of leading contenders, namely Obama and Romney, are on the budget crisis and the economy and the policies that they have planned to resolve these issues. The dramatic increase in the cases of default in student loans is indeed a daunting and pressing challenge that the United States ...