The consumer finance champion Martin Lewis has highlighted the impact of the new arrangements for student loans, saying some school-leavers may no longer consider a degree is worth the cost.
This is precisely the point of thew entire system.
A degree has a cost. Whether that’s to society or the individual taking one there’s a cost associated with it.
So, as always we want to do things which add value and not do those things which do not add value.
So, people should do degrees which add value and not do those which do not.
Pretty simple really.
So, how do we gain that goal? The people making the decision to do a degree or not need to be exposed to the costs of the degree being done. They then face the correct incentives, prices and benefits, to make that decision.
That’s actually the damn point. That people intending to do Mickey Mouse at a third rate tech don’t.