Monthly Archives: May 2015

On taxing the rich to fund colleges

Bernie Sanders talks to CNN about plan to eliminate public college tuition

https://www.youtube.com/watch?v=3IxEl8L__OA

Why bother proposing such nonsense? It would never make it past the House doorstep. It would never come to pass. It’s just super-socialistic claptrap ringing in the ears of the oppressed. (Of which I’m one. But I’m rational at least.)

No, what you want to do is incentivize all corporations (not just financial firms) to fund colleges directly.

“For every new hire a corporation makes where that hire has graduated within the last 5 years, said corporation must fund the college of the graduate a full year’s tuition.”

What this accomplishes:

• You want to hire from the best colleges? It’ll cost you.
• You want the best deal for your new hire? Find the low cost colleges (read underfunded) producing the best graduates.
• Colleges will compete on LOWERING their tuitions to draw the most funding.
• Students will flock to the lesser known colleges so as to become more lucrative to corporations.
• But it’s still a meritocracy. The best schools producing the best graduates will still do so.
• Effectively every graduate who gets hired would help fund the next year’s graduates.
• Corporations are the ones making money off of tuitions (indirectly). So make them pay for this resource.

In the end some threshold of corporation size might be required. Or perhaps the smaller the firm, the longer the pro-rated payback time.

In the end you want to find way not to penalize anyone, but to incentivize them to do the right thing.

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