More students from higher-income families are taking out loans to go to college, according to a Marketplace report on public radio. Assistant Professor Dominique Baker explains how higher-income families are more apt to chose more expensive schools and also use Parent PLUS, which allows borrowing up to the full cost of attendance.
Baker says, “Income is not wealth. That’s critical to keep in mind because there are some families that have the same amounts of income, but they have different economic resources that they can tap into to help support students through college.” Read more.