Educational Rebate

A proposal to rebate tuition to law school students.

Law schools might analogously offer to rebate half of a student’s first-year tuition if the student opts to quit school at the end of the first year. (If the student has taken out government loans, this rebate would first go to repay this debt.) A half-tuition rebate splits the loss of an aborted legal career between the school and the student. Each has skin in the game, so students will not go to law school lightly, and law schools will have better incentives not to admit students likely to fail.

Not a bad idea. A lot of the financial problems facing the country are the result of looking at the wrong timeline and getting into sunk costs.