Analysis of Market Failure of Students Loans in Colleges and Universities from Economics and Law

The asymmetric information in student loans and the legal characteristic of student loans contract result in the market failure of student loans.The deep reason of it,in the author's opinion,is the conflict of the economy and social nature of student loans,i.e.the conflict of student loans institution itself.The countermeasures to the market failure of student loans should follow the principle of giving priority to social interest,set up the long-term policy goal of student loans of colleges and universities,formulate student loans law of colleges and universities or perfect the higher education law.While the law of student loans is not perfect,the mechanism of student loans and repayment should be improved.