Re fed tapering/POG;Can the fed really quit QE?Check out the...

Re fed tapering/POG;
Can the fed really quit QE?

Check out the level of US student loans now relative to debt levels of the subprime mortgages in 2007.

“The value of American subprime mortgages was estimated at $1.3 trillion as of March 2007,[26] with over 7.5 million first-lien subprime mortgages outstanding.[27]”

http://en.wikipedia.org/wiki/Subprime_mortgage_crisis

“outstanding student loan debt owed by existing borrowers continues to swell. The Consumer Financial Protection Bureau estimates that outstanding debt is approaching $1.2 trillion as of May 2013.”
“total outstanding student loans were approximately $1 trillion as of the end of 2011. The 20% growth in student loan debt from the end of 2011 to May 2013 has been much faster than growth in revolving credit products”
“Estimates for outstanding student loan debt exclude other credit products that may be used for education expenses. However, many families utilize home equity loans, credit cards, and loans from retirement plans to pay for educational expenses. As a result, debt incurred for higher education may actually be much larger than the $1.2 trillion estimate.”

http://www.consumerfinance.gov/newsroom/student-debt-swells-federal-loans-now-top-a-trillion/

So as of May 2013, not only was student debt almost at levels (possibly now exceeding those levels) of subprime loans just before the GST, but the level of student debt is climbing rapidly.
Let’s hope all these students can find full time employment.