During a talk at Florida State University, Vice President Joe Biden admitted that government intervention and federal loans that provide subsidies for students to attend college have greatly contributed to the increase in college tuition.
In taking questions at the Tallahassee campus this week, Biden was asked by a student whether by manipulating variables in the free market and giving out government subsidies could perhaps be partially responsible for rising tuition costs, reports Real Clear Politics.
"Government subsidies have impacted upon rising tuition costs. It's a conundrum here. But if we went the rate your view of the free market route what we would have done is we would have not of done that. We would not have increased pell grants, for example. And there would be 9 million fewer students in college today.
"And there would be hundreds of thousands and millions of students who would not be in college who don't get Pell grants because there was no ability for them to borrow money through Perkins loans and/or have the tax deduction."
He then went on to admit that, in a pure free market, college tuition would have to be lower because there would be fewer people going to school.
"But the end result is we would probably have — we go for the better part, half a generation, of going 16th in the world maybe down to 20th in the world."