Its currently the students that are required to pay. Some do pay it off, but a lot don't. The interest is partly covered by government through taxes, yes; but its not forgiven. Not usually. The cost...the amount is the problem, the removal of price as a limit on how much the price is. There is no sign this will ever, ever stop; and the universities are running on the assumption they can keep growing and keep raising prices. They buy land. They build buildings which they rent out. They make golf courses. Its crazy.So these are federal student loans funded by taxpayer dollars. The interest is a hidden tax basically. As the government spends more and more money they have to find more ways to pay that debt. While Trump temporarily suspended interest accumulation on student debt that debt is still the government's debt. The federal government has an obligation to pay its debt to the federal banks. The money has to come from somewhere.
I assume the answer would be to tax the rich... Make the rich pay for the education of America's youth.
That's reasonable. Here are some relatively unbiased resources. There are probably others. I think its a good argument.No cite to reputable source(s) means I dismiss the OP out of hand.
Many online sources tend to be from a politically influenced group such as from a particular newspaper or think tank, so I have tried to avoid that but came up with only one. It looks decent. Best colleges online (probably unbiased politically) says average tuition in 1973 at a state university and adjusted for modern inflation was 2,175$. That's one semester.
A Timeline of College Tuition - BestCollegesOnline.com
This resource says colleges like to charge high tuition, so that they can give discounts to particular students that they especially desire: The Real Reasons Why College Tuition is So High and What you Can Do About it - The Scholarship System
Most online sources compare modern prices to 1987 or 1980, not 1960 or when the government backing was instituted.
Forbes talks about prices since 1980 Mind-boggling Increase in Tuition Since 1960 Even as Students Learn Less and Less - Competitive Enterprise Institute
1/3 of US adults have student loan debts according to Pew. Its strong evidence that government backed loans have driven prices out of reach and are a racket.
5 facts about student loans
The amount students borrow per semester tends to double every ten years
The Changing Profile of Student Borrowers