President Obama and the Democrats tacked an amendment on to the Obamacare bill that will kill the private student loan business and make the federal government the sole lender of student loans. This would be a terrible blow to freedom and the beginning of government control of who gets loans and the curriculum taught by schools. Peter Wood has written an excellent article published at the National Association of Scholars that examines why government control of the student loan is bad for education and the country. As an example of the evils of federal control of education, the author cites Title IX of the Education Amendments of 1972 that has been used to eliminate some college sports programs because the colleges could not maintain programs that had an equal number of men and woman. He says:
They [the federal government] succeeded in transforming Title IX from a law against discrimination into a system of quotas. Too many boys playing college sports? The Department of Education will knock your college off the list of institutions eligible to receive federally-guaranteed student loans. . . . In the name of “gender equity,” the government used its financial aid muscle to impose its own agenda on one dimension of college life. . . . . Or consider the Department of Education’s Office of Civil Rights which has more than once used the government’s financial leverage to foster racial preferences in college admissions and hiring.