28 01/12
05:16

Race and Defaulted Student Loans

Does race matter when it comes to the numbers of people with a defaulted student loan? It seems it does. Recently, the United States Department of Education had to admit it used flawed data when studying the impact that a person’s race has on student loan repayment rates. Shockingly, the Department Of Education had to acknowledge it omitted black students from its calculation. By not counting black students, the study vastly understated the impact that race has on student default rates. For-profits schools, as expected, immediately jumped on the flawed data as proof that their industry is being singled out by politically motivated politicians. However, critics of for-profit schools states the industry is looking for anything in the data to prove they are fulfilling a need for higher education. When black students are added to the data there is a strong link between poverty and race. However, that data also shows that other factors come into play when accessing a student’s success beside demographics.

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