The Trump administration has already begun implementing plans to shut down the portion or all the departments responsible for underwriting student loans, paying university aid, and ensuring equal access to education.
President Donald Trump campaigned a pledge to “find and remove extremists who have invaded the federal department of education,” suggesting that he would help Secretary of Education candidate Linda McMahon in thwarting the department .
The McMahon Senate confirmation hearing hearing began Thursday morning.
“I want Linda to quit his job,” Trump told the White House press conference on February 4th.
US Department of Education, Washington, DC
Caroline Breman | CQ-Roll Call, Inc. |Getty Images
Former President Jimmy Carter founded the US Department of Education in 1979. Since then, the sector has faced other existential threats. Former President Ronald Reagan called for an end, and Trump tried to merge it with the Labor Bureau during his first term.
The Trump administration's efforts to dismantle the education sector will face criticism.
At that time, 61% of potential voters were executive orders by the Trump administration to abolish the education sector, according to a poll conducted on behalf of student borrower protection centers and basic cooperation on behalf of basic cooperation. They say they disagree with the use of Meanwhile, only 34% of respondents approve such a move. A survey of 1,294 people was conducted from January 31st to February 2nd.
Deep cut is already underway
As an institution approved by the Congress, the education sector cannot be excluded without Congress' approval.
But in the meantime, the Trump administration, Elon Musk, and his advisory group known as government efficiency can slowly cripple it.
Already, the Institute of Education Science, the research division of education, has been significantly reduced by Musk's Doge team.
In a statement Monday, the American Association of Educational Research and the Council of Professional Associations on Federal Statistics said 169 contracts have been cancelled, including those related to the collection and reporting of education statistics.
“Sense public policy for education relies on strong research and basic collections and availability of data on institutional performance and student outcomes,” said the president of the University Access and Success Institute. said Sameer Gadkaree, and CEO. “If not, Americans would be in the dark about debt, shifting student success, and how to invest public dollars to increase effectiveness.”
More details from personal finance:
How Musk's Doge took over the Education Department
A $2.7 billion Pell grant shortage poses a threat to university aid
Despite forgiveness, student loan debt has swelled under Biden
Some experts say further demolition of the education sector could have serious economic consequences.
“Most of the department's budgets fund federal student assistance for higher education, grants to primary and secondary schools with large stakes in students from low-income families, and special education programs for children with special needs. We provide it,” said Brethouse, a Columbia professor of economics. Business school.
“Some of the division's funding program may be transferred to other agencies, but there is no guarantee that it will continue on the same size or impact,” House said.
Student loans may be managed by the Ministry of Finance
Even if the education sector no longer exists, experts say it is likely that another government agency will manage the task of distributing student financial aid funds.
Some experts speculate that the Treasury will be the next most logical institution to manage student debt. However, it is unclear whether the Treasury focuses on students as much as the education sector, the former US under Education Secretary James Kvaal.
“People took out student loans at a very young age, and Congress created all these benefits that can be used with student loans that are not available with other types of credit,” Kvaal said. “It's questionable whether the Treasury has the same ethics as prioritizing students.”
instead,” [the Treasury] Do you prioritize loan collection? ” asked Kvaal.
“One of the intentions [of the administration’s actions] “We're a great leader in our efforts to help people understand how we're doing,” said Thomas Phillipson, professor of public policy studies at the University of Chicago and former acting chairman of the White House Economic Adviser Council.
“If such a redistribution occurs, this could possibly be improved. This, in contrast to the wounds, is suitable for the nation and local people to meet uneven needs. There is a chance that it will improve because we are,” Philipson said. “The perfect nature of federal regulations and spending programs for all sizes can often be improved.”
Still, other agencies are not capable of serving the $1.6 trillion student loan program, according to Karen McCarthy, vice president of public policy and federal relations at the National Association of Student Financial Aid Administrators.
“It would not be an easy process to do that transfer,” McCarthy said. “Our biggest concern is that if something like that happens, it won't go smoothly.”
The process could potentially unsettling millions of current university students and more than 42 million borrowers with federal student loan debt, she said.
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