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Ways to resolve the problem of college debt

Author: LiuQiWei
Tutor: LiuDongRong
School: Central South University
Course: Management Science and Engineering
Keywords: high school loan problem resolve solution
CLC: G647.5
Type: Master's thesis
Year: 2010
Downloads: 88
Quote: 1
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Abstract


In the end of the 1990s, to go against the influence of Asian financial crisis and enhance the development of high education in our country, the Party and the State Department made a decision that in several years the number of recruited students is enlarged continuously to a large extent, in order to promote the popularity of high education. With the rapid extension of the number of recruited students and the gradual improvement of standards to run a school, some colleges with the primary conditions which cannot meet the demand of enlarging the recruitment are rebuilt in a large scale. Due to various reasons, the construction capital of many high schools is obtained from banks with the future financial input and tuition fees as the loan guarantee. In recent years, with the coming of the deadline of loans and the extension of the scale of loans, the influence of high schools’loans appears gradually and the culture of students has been greatly influenced. Besides, the sustainable development and stabilization of high school, the healthy development of high education and the stabilization of financial industry are all influenced. If the crisis faced by the finance of high schools is not resolve d in time, more and more problems are probably intrigued. Therefore, solving the problem of high schools’loans becomes an essential and urgent task for the government, high schools, banks and even the whole society at present and in the period ahead.The article provides a theoretical background to resolve the problem of high schools’loans through analyzing some relevant theories, such as, the theory of public goods and the theory of sharing costs; based on the previous study, the article illustrates the current condition of high schools’loans and existing problems and makes a further analysis the deeply-rooted reasons causing high schools’loans in our country; the article introduces the measures taken by American high schools, and based on comparison, a conclusion is drawn and various problems of high schools’loans are discussed. Finally, from four aspects of the government, high schools, banks and the society, solutions to the problem of high schools’loans are put forward.

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