I don't think we disagree on this. Students, by the nature of generally have no/limited assets, are able to get loans because they are backed by the government.
>As far as I can see it started in and around the 1950s
It took on a completely different character in recent decades, though. Changes in regulation and private loans have changed the rate of debt.
>Mostly a function of what else are you going to buy?
Forgive me if I'm putting words in your mouth, but it seems like you're saying money flows to education administrators and they disproportionately invest in housing. I'd need to see some data backing that up before I draw a stronger conclusion on it, otherwise it's just a neat and untested hypothesis. And you would expect other administrator-preferred asset classes to follow suit. If your stance is that money goes into the economy as a whole, I would expect a range of products to track with student loan increases, but I'm not sure the data backs that up either.
I don't think we disagree on this. Students, by the nature of generally have no/limited assets, are able to get loans because they are backed by the government.
>As far as I can see it started in and around the 1950s
It took on a completely different character in recent decades, though. Changes in regulation and private loans have changed the rate of debt.
>Mostly a function of what else are you going to buy?
Forgive me if I'm putting words in your mouth, but it seems like you're saying money flows to education administrators and they disproportionately invest in housing. I'd need to see some data backing that up before I draw a stronger conclusion on it, otherwise it's just a neat and untested hypothesis. And you would expect other administrator-preferred asset classes to follow suit. If your stance is that money goes into the economy as a whole, I would expect a range of products to track with student loan increases, but I'm not sure the data backs that up either.