So we rather throw food into the garbage than give it to a hungry kid???
- Texas School Throws Child’s Breakfast In The Garbage To Bully Him Out Of 30 Cents (RINF, Nov 10, 2013):
A quarter and a nickel. Three dimes. Six nickels. Thirty pennies. All equal 30 cents. This is the pocket change that a school punished a six grade boy for not having by taking away his breakfast and trashing it. Sound heartless? That’s because it is.
A 12-year-old boy was forced to sit in embarrassment at the breakfast table at Barber Middle School in Dickinson ISD when cafeteria workers took his food away and threw it in the garbage. Why? Because the boy’s account was short a measly 30 cents. As a result, the hungry child didn’t get to start the day with a meal in his belly.
Instead of allowing the child to finish his meal, school officials tossed it and made him call his mother to have her bring money to the school. But even after calling his mom, the school refused to let him eat until they got their money. Basically, this was a shake down. The boy’s mom, Jennifer Castilleja, described what happened and expressed disappointment that the school didn’t deal with the situation differently.
“My son called me and asked me if I could bring him some money because they took his breakfast from him and he needed money for breakfast,” Castilleja told KTRK.
“I said, ‘Well, I’m on my way, I’ll pay for it. And she said no, I would have to bring some money before he could have breakfast. There were kids all around him. I think he may have been a little embarrassed and upset and, of course, hungry. Telling the child, we are going to feed you, but go to the office and call your parent and let them know that you need money. Anything than sending them to class hungry.”
Schools deny meals to kids too often in this country.
- Next “Subprime Crisis” Expands As Student Loan Defaults Hit $146 Billion, Highest Default Rate Level Since 1995 (ZeroHedge, Oct 1, 2013):
Almost exactly one year ago we wrote “The Next Subprime Crisis Is Here: Over $120 Billion In Federal Student Loans In Default” in which we took the latest (2009 three year cohort) loan default data on Federal Student Loans released by the Department of Education and applied it to the total amount of student loans outstanding, which back then was $914 billion. Yesterday, ED.gov provided its annual update - this time to the 2010 three year and 2011 two year cohorts – and to nobody’s major surprise, learned that things just got even worse. To wit: “The national two-year cohort default rate rose from 9.1 percent for FY 2010 to 10 percent for FY 2011. The three-year cohort default rate rose from 13.4 percent for FY 2009 to 14.7 percent for FY 2010.” Putting this in context, according to Bloombergdefaults have risen to the highest level since 1995. The irony that this is happening in the aftermath of Bernanke’s disastrous ZIRP policy is not lost on anyone.
Quantifying this percentage, recall the NY Fed reported in its second quarter household credit update that the amount of total outstanding student loans has now risen to $994 billion, or $80 billion more in just one year:
… one can calculate that the current amount of non-performing loans originated in 2010 is now a whopping $146 billion (the full total amount of student loans owed is $1.2 trillion when including private loans from the likes of Sallie Mae – this sum surpasses all other kinds of consumer borrowing expect for mortgages). Unfortunately, as the economic situation has only deteriorated since then especially for student-age Americans, the real blended amount of student loans in default is almost certainly substantially higher as of this moment.
The Education Department had this commentary: Continue reading »
Faber begins by noting that “a deflationary bust, whenever it may happen (tomorrow or 10 years), is inevitable; and is the opposite of an increase in prices from inflation.” Of course, it is the central banks’ response to even the fears of that bust (e.g. whether it washes around the world – from EM to DM) that will turn an asset-deflationary bust into a hyperinflationary collapse in fiat currencies; and focused on the long-term, ‘Gloom, Boom, & Doom Report’s’ Marc Faber looks at how to preserve wealth through this as he ranges from the obsolescence risk of equities to the political risk of real estate and banking risks of cash and deposits. Faber reflects on various lessons from the past (hyperinflations, wars, banking crises) and geographies as he moves from asset class to asset class highlighting the pros and cons of each. Preferring a mix of gold and diversified real estate (and not government bonds), Faber warns investors to be highly skeptical of anyone who believes they can forecast what is going to happen over the next 5-10 years.
Starting at around 3:35, Faber begins to focus on wealth preservation… (the preceding discussion of higher education’s failings are also worth the time).
HSLDA Founder and Chairman Mike Farris meets with the Wunderlich family during the Global Home Education Conference held in Berlin, Germany in October 2012. Farris is asking homeschoolers to contact German officials on behalf of the Wunderlichs.
- Children Seized in Shocking Raid (HSLDA, Aug 30, 2013):
At 8:00 a.m. on Thursday, August 29, 2013, in what has been called a “brutal and vicious act,” a team of 20 social workers, police officers, and special agents stormed a homeschooling family’s residence near Darmstadt, Germany, forcibly removing all four of the family’s children (ages 7-14). The sole grounds for removal were that the parents, Dirk and Petra Wunderlich, continued to homeschool their children in defiance of a German ban on home education.
The children were taken to unknown locations. Officials ominously promised the parents that they would not be seeing their children “anytime soon.”
HSLDA obtained and translated the court documents that authorized this use of force to seize the children. The only legal grounds for removal were the family’s continuation of homeschooling their children. The papers contain no other allegations of abuse or neglect. Moreover, Germany has not even alleged educational neglect for failing to provide an adequate education. The law ignores the educational progress of the child; attendance—and not learning—is the object of the German law.
- Move Over, Obamacare. Here Comes Obamaschool (Ludwig von Mises Institute, Aug 30, 2013):
The president gave a speech on August 22 in Buffalo outlining his proposal to “reform” the student loan program. He acknowledged that the program has some problems, but assured the audience they are easily fixed. Just take the principles behind Obamacare and apply them to education. The president personally “guaranteed” that his proposals would make college more affordable.
- Across America, Young Teachers are So Broke They are Taking 2nd Jobs…As Prostitutes (Liberty Blitzkrieg, Aug 28, 2013):
I suppose they should’ve just bought stocks. Welcome to the recovery.
From CBS in Detroit:
So, what are some Detroit women doing to offset their struggles in the classroom? Well, they’re becoming “sugar babies” of course — seeking financial assistance from wealthy men online.
In the Detroit School District alone, 201 teachers are moonlighting as sugar babies to offset wage cuts and job losses, according to dating website SeekingArrangement.com.
Brandon Wade, the website’s founder and CEO, said the average public school teacher registered on the site is between the ages of 28- and 33-years-old, and asks for approximately $3,000 a month in financial assistance from her sugar daddy.
While the number of Detroit school teachers registered on the website might be shocking to some, it’s actually less than the national average. Wade said the Philadelphia City School District has the highest number of teachers registered on the website at 674, followed by Miami-Dade School District with 507.
Awesome economy we’ve got going. Continue reading »
- Student Loan Rates Set To Double On July 1 (NPR, June 28, 2013):
The interest rate on government-backed student loans is going to jump from 3.4 percent to 6.8 percent Monday.
Republicans, Democrats and the Obama administration could not agree on a plan to keep it from happening. Lawmakers say a deal is still possible after the July 4 recess. But if they don’t agree on a plan soon, 7 million students expected to take out new Stafford loans could be stuck with a much bigger bill when they start paying the money back.
- Fed Shocked To Find Student Loans Used For Anything But To Learn (ZeroHedge, June 24, 2013):
Since January, under pressure from the Fed, the Education Department has flagged 126,000 applicants attempting to pocket federal loans and grants without any intent of going to school. As the WSJ reports, officials are cracking down on fraud in student-aid programs after evidence of recipients – acting alone or as part of organized crime rings – misusing funds. “What we find are very poor students academically that are borrowing to the max, getting the maximum in their Pell grant and just going from school to school,” noted one director of financial aid, with roughly $829 million in Pell grants as “improper payments,” in the last year. Rather stunningly, more than 34,000 participants in crime rings improperly received federal student aid last year, up 82% from 2009. “We started seeing student borrowing that was just over the top with no explanation for why,” another director noted, adding “it’s not so much about the education, it’s the money.”
Most federal student aid requires no credit check and comes with few restrictions on how the money is spent and Federal officials say the Internet has helped fuel student aid fraud.
Via The WSJ,
Federal officials are cracking down on fraud in student-aid programs, responding to evidence that a growing number of recipients—acting alone or as part of organized crime rings—are pocketing federal loans and grants without any intent of going to school.
Since January, the agency said it has flagged 126,000 applicants, about 1% of all those seeking aid for the 2013-2014 school year.