Yep. They’ll also underemploy themselves through that time, pulling down the economy. Coupled with the Obamacare subsidies, food stamps, etc., there will be little incentive for anyone below the top third or so in earning power to work at capacity for their first 20 years out of school.
What’s next, for them to be on their parents healthcare until age 46?
Yes. All correct. The main things are (a) Keep government out of process, do not guarantee loans, and (b) do not allow students to borrow too much (unless they borrow privately).
I know kids who live on these loans, do not really engage seriously in college full time but enroll in all sorts of fly by night “schools”, tech programs, on-line scams etc which are just set up to help students live off their loans and kickback some to the “school”. Racket. Much abuse. These people are terrible loans risks.