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Human capital cannot be pledged as an asset that can be seized by a lender in the event that the borrower defaults on a loan;
Human capital cannot be pledged as an asset that can be seized by a lender in the event that the borrower defaults on a loan; in other words, human capital cannot be used as "collateral." Does the observation that human capital cannot be collateralized mean that in the absence of government-provided loans interest rates on student loans would be too high, just about right, or too low
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