U.S. Federal Student Loan Policies effect on Economic Growth

Aysia Cato

Diplomová práce

Abstract:

The purpose of this research is to be able to determine the relationship between U.S. federal student loans and economic growth through higher education policies and what policy is the best economically. This is done through an econometric model using GDP as the dependent variable and average tuition and fees, default rates, interest rates, total federal student loans and consumer price index as the independent variables. Raw data was taken for the time series of 1989-2019 and the sample population is for full time undergraduate students. This validation of the model was used to be able to do a comparative analysis of several policies recently proposed to be able to determine which federal student loan policy is the best for economic growth. From this research, it is concluded that the best student loan policy is to include cancellation or forgiveness of student loans along with making education more affordable and student aid more streamlined for consumers to bring about the best human capital to help boost the economy.

Keywords

Federal Student Loans, Education, United States of America, Higher Education Policy, Economic Growth, GDP, Debt, Default

Jazyk práce: angličtina

Datum vytvoření / odevzdání či podání práce: 30. 3. 2021

Obhajoba závěrečné práce

• Vedoucí: doc. Ing. Irena Benešová, Ph.D.

Česká zemědělská univerzita v Praze

Provozně ekonomická fakulta

Magisterský studijní program / obor:
Economics and Management / Economics and Management