"No, student debt isn't exactly like the housing bubble, but that doesn't settle the issue. If the Great Depression was like a spinal fracture, and the housing bust a femur fracture, then student debt is like anemia. Defaults, negative amortization, accounting shortfalls, IBR cancellations, overpriced educations, credential inflation, and opportunity costs of schooling will sap the economy's strength if nothing is done. This is the benefit to the government of Auto-TARPing the loans: the losses are hidden."