The reason that students have trouble paying off their student loans is that too many of them have degrees that are not translatable into well-paying jobs. These students are earning $20,000-$40,000 dollars with their degrees, not $60,000-$80,000. In other words, too many students are going to college and earning too many worthless degrees. Obama’s answer? Let’s do more of that!
The last time I crunched the numbers, the cost for a bachelor's degree using an economically sensitive strategy was about the same the cost of buying a new Honda Accord or Toyota Camry. That strategy might be a couple of years at the local community college, then transferring to state U for the final two years. (There are always places available for Juniors and Seniors, because the state U dropout rates are so high.)
As for spending $200,000 + to attend a second or third tier college -- that's a financial decision about as sane as the average household (median household income in the US is $53,046) spending $200,000 to buy a car. That $200,000 car is nicer than a Camry, but can you really afford it?