shannon, stand to make billions of dollars off student loans? reporter: jon, you know the president made clear as he spoke to college campuses last few years that reforms to student loan programs have been a top priority for his administration. support is of concept by the government taking more direct control of lender this would provide a more cost effective system for students. here is matt chingo of the institute. the problem that existed back then was poorly designed. private lenders were making too much money, giving out money given by the government, taking no risk and compensated too generously for it. reporter: private lenders out the government taking a more direct role. according to cbo projections reality of playing out, setting student loan interest rates based on government s cost to borrow, is $127 billion surplus to the department of education over the next decade, jon.
we give them pour in the constitution. and not only in this administration, it is bureaucracy that are entrenched in their model and protecting the bureaucracy than doing their job. good to have you on today. thanks. new report finding that a department of education stands to make billions of dollars off of student loans amid president obama s repeated requested to make college more affordable. over the next decade. department of education could generate 127 billion in profit off student loans. and the president made it clear as he spoke, that reforms to student loan programs are a top priority for his administration. supporters of the concept by the government taking more control as a lender, borrowers get
haven t been shared and they re very concerned about that the reason they haven t been shared is the lack of upward mobility [ bleep ] i got out of school, out of harvard business school, i had what in those days was quite a lot of student debt. so what did i do? shared an apartment with some other guys in new york. saved up. each month gradually paid down the debt and eventually worked my way out of it. people nowadays seem to feel that they can borrow the money, and as i understand it, some of these student loan programs not only lend them the tuition but lend them entertainment money. when i was at school, in addition to having student aid, i had to work. so do you think that i had little jobs. do you think that people think they re more entitled now? they think they re entitled to a middle class way of life and don t work as hard? well, i think there s getting to be a feeling, and i was alarmed at the remarks
the country. our high school graduation rate is the highest that it s been in more than 30 years. [ applause ] that s an achievement. the dropout rate among latino students has been cut in half since 2000. really big deal. [ applause ] we reformed our student loan programs so that more young people are able to afford to go to college, and now we ve got more young people earning a college degree than ever before. teachers and principals across the country are working hard to prepare students like you for skills you need for a new economy. not just the basics of reading and writing and arithmetic, but skills like science, technology, engineering. critical thinking, creativity, asking what do you think about that idea and how would you do things differently.
condition. if they don t have health insurance they can get it on health cak healthcare.gov. we ve made enormous strides changing our student loan programs. millions more get student loans. part of what s happened is that checklist i had when we came into office we ve passed a lot of that and we re implementing a lot of it. so in no way are my expectations diminished. what s happened is we have a divided government right now. house republicans in particular have had difficulty rallying around any agenda, much less mine. and in that kind of environment, what i don t want is the american people to think that the only way for us to make big change is through legislation. we ve all got to work together to continue to provide opportunity for the next generation. let s talk about house republicans and senate republicans. because there has been a large