I Think It can be done in a composite sort of way. Government subsidises the education and puts a kind of debt on individual for recovering at a later date with the interest rate and all. The individuals start to pay the government once they start earning as contracted. Both side will be happy.
RE:It had scared me off with a fees of 3 lakhs in 2003
by ravi kumar on Apr 10, 2008 11:58 AM Permalink
dont give them degrees untill they have entered into contract to pay back. Surely if government can manage passport it can manage this too.
RE:It had scared me off with a fees of 3 lakhs in 2003
by Mrigesh Kejriwal on Apr 10, 2008 02:19 PM Permalink
Cmon guys..its not the govt's job to run a lending business. Holding back degrees wudnt help as it would severely handicap once capacity to change jobs.
A lot of discussion here is on what an average MBA earns. IIM salaries are substantially higher than the average MBA salaries and all those who pass out of IIMC have sufficent income to pay off a debt of 10 lakhs.
Before proposing a subsidised loan from the govt, pls bear in mind that even the govt does not borrow free. Its not jsutified to subsidise an IIM education from the tax payers money. especially when the chances of that person leaving the country itself are pretty high.
Coming back to the point of the govt's duty to provide education... nowhere in the world does the govt provide free/subsidized MBA degree except a few scholarships.
Somehow some ppl have a habit of creating a a noise whenever the price of anything increases and giving the same run down argument of middle class and lower incomes. Let it be known for a fact that an MBA is not expected to be financed from your father's monthly income. Niether is it his duty to fund your MBA. Nothing stops you from working for a few years and saving money for am MBA, if you do not want to borrow. That is the norm globally.
Moreover it is not the duty of IIMC or the govt to ensure that every Tom Dick or Harry becomes an IIM irrespective of his/her abilities/ affordability. Even I want to have a private jet. Why doesnt the govt subsidize it so that I can
RE:RE:It had scared me off with a fees of 3 lakhs in 2003
by ravi kumar on Apr 10, 2008 04:36 PM Permalink
well yeah one thing i agree baby that MBA is equivalent to private jet:) I loved this piece. but with 27% quota lets see if its easy to get the private jet(some nonsense)
RE:It had scared me off with a fees of 3 lakhs in 2003
by ravi kumar on Apr 10, 2008 04:30 PM Permalink
hey baby don't tell me what is a govt's job its neither your nor my job to think. And I said hold up degree till they sign the contract. how can you comment on my comment without even going through it. Ridiculous.
RE:RE:It had scared me off with a fees of 3 lakhs in 2003
by ravi kumar on Apr 10, 2008 04:32 PM Permalink
and debt of 10 lakhs everybody will not get ok thats where you missed the point. you need to show collaterals if you are taking loan beyond 4 lakhs now please tell me how to do it if you are a pauper.
I still wonder why the Indian government loves spending tax payers money on a bunch of ppl who never bother to pay back to the exchequer! Follow the lines of IIM A and atleast save the taxpayers money for better things!
I tend to disagree with our distinguished alum Mr. Balakrishnan.
Higher eductaion (especially from an Institute of national eminence like IIMC) is no longer dependent for funding on parental income. As long as the cost of a two year MBA is lesser than the expected post tax first year income or slightly more than that, repayment of the loan should not be a worry at all. After all, an MBA is a long term investment whose benefits one reaps over a lifetime. To expect that its cost be funded from the annual income of parents just like high school eductaion is not fair.
I strongly feel that the fee structure should be a function of the expected incomes after passing out rather than a cost plus figure. If the institute has to compete with world class institutes and regularly upgrade its infrastructure then it has to be funded from the fees itself. Any other model would not be sustainable as the existing corpus would eventually dry up.
If one tries to apply the logic applicable for basic education to proffessional education then only misplaced conclusions can be expecetd
When I was studying in 12 Th we were giving IIT & other Entrance exam but not IIM entrance exam. Reason was that that time IIM fee was Rs.75000/- & our parents%u2019 can%u2019t afford it. Tell me how middle class can afford it. It very easy to say that Bank is giving loan. Yes Banks are giving loan against properties only. India became number one in software because education cost was very less compare to USA.Today government is getting retunes in term of remittance of subsidies. Now we are doing same mistake what USA has done.
RE:IIM FEE
by abhijit kedia on Apr 08, 2008 11:02 AM Permalink
Well, If u were in class XII, you couldnt give IIM Exam anyway since you are not a graduate. Also, you have a misconception that bank gives loan only on properties. This is not true for educational loans. Educational loans (till 5 lakhs) are available without any collateral, let alone property.
RE:IIM FEE
by parag trivedi on Apr 08, 2008 02:17 PM Permalink
It is true that IIM Exam is given after Graduation. This is for comparison of two fee structure. Can you give Bank name branch add. & Manager name to get without any securities?
RE:RE:IIM FEE
by rohit gupta on Apr 08, 2008 12:25 PM Permalink
heh...u don't even know that what's a graduate exam and an undergrad. is!! and u are posting here... its easy to critisize others widout any reason... to get loans is so easy nowadays for students like us.And our parents don't have to fear for our future as we are studing in such a premier insti. So who says that money is problem??
I would like to complement the management of IIM Calcutta for such a bold and compassionate step. After all you people are parents also and appreciate how much can most of the Indians afford. Please don't follow IIM, Ahmedabad which has taken an obnoxius hike. As a leading institution of our country and for nation building please don't fleece the students/parents.
Hey nobody gets a dream hike...its just exagerrated. To be precise - yes MBA grads are paid high...but there are some finer points to it.
1. A MBA grad from a good institute and getting a really really fat pay, something 20-20 lakhs per annum, cannot be a fresher. He must be the one who has 4 years of industry exp, and quit job to get admitted in the IIM or ISB. So its a jump like 10-25 or 12-30. Getting a 50% or 100% salary hike in the range above 6.5 lakhs is difficult, thats where B-schools make the difference.
2. There are non-MBA professionals working well, like a sales guy with a great performance record and commision in crores, does not care for a B-school degree. No company will invest in B-school grads, had they found such people readily. A guy who sells baloon knows more abt selling than a fresher from IIM.
3. I think not everyone should race to get a B-school degree. Think of starting your own with basic idea being creating a good revenue model and I promise you will earn more than a B-school grad.
4. Altough both Mukesh and Anil are graduates from B-school, their father who shd get a lot more credit had not even be to college. Osho - Rajnish - Some call him a spiritual leader - he is actually a management guy - no formal B-school guy but think of the leadership qualities he had. The loyality of his followers was unconditional. Sunil Bharti Mittal - Founder of Bharthi telecom, one guy whom even Dhirubhai was fond of. He could see some competetion from
RE:do u really need a b-school degree???
by rohit gupta on Apr 08, 2008 12:29 PM Permalink
i suggest biju to read what u have written i want to ask him ,if he can ans,what aim he has got in his life?? yaar such tasteless life no one would hope of what u are sying might be true,but for those pple like you...not for amibitious one like ME..!!
RE:do u really need a b-school degree???
by BIJU KRISHNAN on Apr 08, 2008 10:23 AM Permalink
Also if u hear from a B-school grad that his pay is 7 lakhs - make sure u ask him how much his variable and commision is. Yes the guy can earn his full variable pay, but then its his talent...not the B-school degree. So effectively he is earning only 4.5 to 7 lakhs in most cases.
RE:do u really need a b-school degree???
by rna on Apr 08, 2008 10:27 AM Permalink
BIJU..... After reading above, one this is sure....You are not ambitious.
RE:do u really need a b-school degree???
by BIJU KRISHNAN on Apr 08, 2008 12:06 PM Permalink
are u a phsycologist....! Sorry for the spelling..! But if u have even a pence worth of brain u wd have understood what i put across.
Just tell me if ur a man or a woman...! I could explain the rationale behind why u think I'm not ambitious.
It is the thinking of such institutes which makes India thrive. It is easy to charge the students when there is a paucity of quality education in the country. But there has to be an optimisation in all spheres. We need to take care of the middle class and the lower class also while arriving at the fee structure. Though everyone would trumpet that there are loans available, but only a borrower knows the hassles and pangs of obtaining such educational loans.
Simultaneously, there are plenty of other opportunities wherein the institutes can earn money : (i) Offering consultancy services to the industry. (ii) Charging the corporates who come for placement. After all the corporates also get the best talent in the world. These are only few of the options. I am sure there must be other available options.
RE:IIMC shows the way
by Neeraj Kumar on Apr 08, 2008 10:20 AM Permalink
There is absolutely no need for providing subsidy in higher education especially when majority of our primary schools are running without table, chairs and in many cases without teachers. We have limited resources (taxpayers' money) buddy and we have to prioritize our spending. Education loan is not a big hassle anymore and with the govt. providing tax incentive on education loans it has become quite attractive. Moreover, IIMs are already providing consultancy to the govt. and private business charging huge fees. They are also charging from the companies coming for recruitments. IIM-C is well within its right to keep its fee low but then it should not go to the govt. with a begging bowl asking for subsidy.
"Most students who study in IIM-C come from families whose annual income is Rs 5 lakh"
This statistic is based on the form the applicant fills up. Where he/she is asked to select the income bracket that applies. No other proof of income is asked for. So, it could be, that some applicants fib.
RE:
by sudeep sar on Apr 08, 2008 10:09 AM Permalink
Yes, but you also know that if you fib and someone finds out you could lose your seat. At least an IIM aspirant won't fib - he is not looking for government job!
Can somebody tell me what is the fee of all the 6 IIM's for 2008 batch. As per the article students at IIMC has to pay 7 lakhs in 2 years. Is it right or the amount is subject to change?
