tie student loan rates to the national interest rate so graduates are not overburdened with debt in poor economies.

Federally subsidized student loan rates for graduate students are fixed at 6.8%, despite record low federal interest rates. This demographic has already showed ability to adapt to the rigors of higher education and are more likely to receive a higher paying job following graduation, thus reducing risk of default. Fixing the interest rates slows economic growth by burdening the graduate with a disproportionate amount of debt in slower economies. Not only are graduates harder pressed to find jobs in such economies, but now have less disposable income at a time in their life where they are most likely to spend. Higher student interest rates prevent economic growth by limiting a demographic that already has a proclivity to generate cash flow through spending.