Billionaire David Geffen has donated $ 150 million to the Yale School of Drama, and now the drama school will be free.
This is what you need to know.
As first reported for him New York TimesGeffen, 78, made the unprecedented donation, the largest ever to American theater, according to Yale, through the David Geffen Foundation. The school will be renamed the David Geffen School of Drama at Yale University. As a result, beginning in August, the drama school will be free to current and future students in their master’s, doctoral, and certificate programs. This means that students will not have to take out student loans for enrollment, which is roughly $ 33,000 per year. With Geffen’s gift, Yale University’s David Geffen School of Drama becomes the second Yale school to be free. In 2005, the Yale School of Music received an anonymous donation of $ 100 million to eliminate tuition.
Forbes He estimates Geffen’s net worth to be roughly $ 10 billion. Among other companies, Geffen founded Geffen Records and co-founded DreamWorks Pictures with Steven Spielberg and Jeffery Katzenberg. His philanthropic efforts have ranged from a $ 150 million donation to the Los Angeles County Museum of Art to a $ 100 million donation to Lincoln Center, among many others.
Student Loan Cancellation: The Future?
The David Geffen School of Drama at Yale joins a growing list of colleges and universities that have gone free. Whether through generous and direct philanthropic gifts or through the support of a school donation, there has been a growing trend in at least some colleges and universities to help reduce student tuition. Tuition subsidies, scholarships, and “no student loan” policies have helped student loan borrowers avoid the pitfalls of student loans. As a result, students whose families have lower incomes have been granted greater access to higher education without the financial burden of incurring substantial student loan debt. Similarly, employers have taken a more active role in repaying employee student loans through incentives that Congress has created, including through recent stimulus legislation. Paying down student loans has been seen as a new hire benefit that helps attract and retain employees, along with a retirement account or health insurance.
President Joe Biden has already written off $ 3 billion in student loans since taking office. Senate Majority Leader Chuck Schumer (D-NY) and Senator Elizabeth Warren (D-MA) have repeatedly called on Biden to enact the cancellation of large-scale student loans of up to $ 50,000 for borrowers. However, a new study shows that, for the most part, wealthy student loan borrowers could benefit from large-scale student loan repayments. However, Schumer and Warren disagree, saying 36 million student loan borrowers would lose their federal student loans entirely if there were $ 50,000 of student loan repayment. (That said, Biden, Schumer, and Warren agree to make public four-year colleges and universities free. They disagree on the amount of large-scale student loan repayments and whether Congress or the President should pay off student loans). If Congress or the president decides not to enact large-scale student loan write-offs, then colleges and universities (and philanthropists like Geffen), as well as forward-thinking employers, can continue to take their place to help address the problem. minus some of the $ 1.7 trillion of outstanding student loan debt.