College students are notorious for trimming the fat when it comes to their budgets. However, for some students, the economic recession is putting added strain on already pinched wallets.
After junior philosophy major Shane Grigsby lost his job due to the recession, he came back to school.
“Might as well come back to school because loan rates are slightly lower than in previous years,” Grigsby said.
However, he also said that he doesn’t quite know how to keep paying the bills.
With joblessness on the rise, many people are finding themselves in similar situations. According to the Bureau of Labor Statistics, the U.S. unemployment rate reached 7.6 percent for January. This past December, 8,600 people were unemployed in Boulder alone. That makes up 4.8 percent of the Boulder population.
Erica Pocs, a junior English major, said she lost a third of her mutual fund. Because of the hit to her wallet, Pocs will not be traveling over spring break.
President Obama’s solution to the failing economy is the American Recovery and Reinvestment Plan. This stimulus program is intended to jumpstart the economy by saving and creating over three million jobs. The plan focuses primarily on health care, energy and education.
“The government should invest money so students can go to college,” Grigsby said.
He views an investment in education as an investment in the future of the country and a good long-term solution.
Many CU students still rely on their parents for financial support and only feel minor secondary effects of the recession. However, wealth management with the help of professional wealth management planning services at an early age can help develop financial skills that may come in handy as you go through life.
“The recession honestly hasn’t affected me too much,” said Amy Putch, a senior Spanish major.
Putch continues to buy lunch in the UMC every day. She also said she might live with her parents after graduation to save money.
CU businesses have equally mixed reactions to the depressed economy. Dan Insana, employee at the UMC Domino’s Pizza and CU economics graduate of May 2007, said that sales are up compared to last semester.
Other CU businesses are not as lucky.
“It is still pretty busy, but not as busy as last semester,” said Sagarika Sinha, a freshman English major and student employee at Celestial Seasonings in the UMC.
Contact CU Independent Staff Writer Georgianne Cotton at georgianne.cotton@colorado.edu.
