Education reform is as shopworn as health care reform. Because most consider it only possible from within existing concepts and frameworks. Disappointingly, the outcome of a proposed reform often amounts to some new profit center, for some institution, and a regression back to the mean. If it gets out of the drawing room in the first place.
Enter Mr. Thiel; his head spinning assesment education is to label it the last great bubble in in the economy. That’s right. Not the technology industry. Not the financial industry, The education industry. His solution is to effectively pay people not to go to school. Should he succeed with his contrarian experiment, his designs may well tackle youth problems and education with a single act.
We hope this program will stimulate thinking about what education is. People are racking up enormous amounts of debt in school. If you graduate from a four-year college with a quarter million dollars in student loans, that limits your ability to do all sorts of entrepreneurial things. I’m concerned that it’s bad for technological innovation, because to start new technology ventures, people need to take risks. They often need to do things where they get paid less than they could earn elsewhere, and with enormous amounts of debt that becomes very hard to do.
So you’re saying that education costs too much?
I do think the debt problem is a very big one. The one area where I think there still is a full-fledged bubble is probably education. In one sense it’s even crazier than housing,