Duh
26 October 2006
Editor, USA Today
To the Editor:
You report that "consumer advocates and student groups worry that the growth" of private student loans "could prove disastrous for borrowers who don't understand the risks" ("Private student loans pose greater risk," Oct. 26).
Well, yes. Any contractual agreement can prove disastrous for a contracting party who doesn't understand it. But presumably people smart enough to attend college are smart enough to grasp the terms and implications of a loan agreement. Those few persons who aren't capable of such understanding should not apply for these loans, much less for admission to college.
Sincerely,
Donald J. Boudreaux
Chairman, Department of Economics
George Mason University
Editor, USA Today
To the Editor:
You report that "consumer advocates and student groups worry that the growth" of private student loans "could prove disastrous for borrowers who don't understand the risks" ("Private student loans pose greater risk," Oct. 26).
Well, yes. Any contractual agreement can prove disastrous for a contracting party who doesn't understand it. But presumably people smart enough to attend college are smart enough to grasp the terms and implications of a loan agreement. Those few persons who aren't capable of such understanding should not apply for these loans, much less for admission to college.
Sincerely,
Donald J. Boudreaux
Chairman, Department of Economics
George Mason University
Posted by Don Boudreaux on
Thursday June 7, 2007 at 5:04pm