REUTERS/Robert Galbraith- A group of students studies on the campus of San Francisco State University in San Francisco, California June 30, 2009. State officials are facing a midnight deadline to close a $24.3 billion budget deficit, and college students would be among those receiving IOU's for loans if the deadline is not met.
How well do default rates reflect student loan repayment?
September 30, 2015,
Robert Kelchen analyzes the newly released data from the U.S. Department of Education on colleges’ cohort default rates (CDR). While Kelchen explains the findings, he concludes that several complicating variables make CDR a weak metric of whether students are actually paying back their loans.