At age 14, Agassi persuaded his father to buy him an Apple IIe by promising him 10 percent of his “lifetime profits” from writing software. It turned out to be an excellent deal: at age 21, the younger Agassi founded TopTier Software — which made portals to help companies organize their internal information — and sold it nine years later to the German software giant SAP for $400 million.Instead of having college students accumulate debt to pay for their education, I have wondered if something like this would make more sense. The government could setup a system where they would pay for your education in exchange fore something like 10% of your future wages. Instead of taking on debt, you would sell equity in yourself.
I wonder though if there would be adverse selection, where those that are looking to go into professions with low wages or become house wives would sign up for the system, while those that are planning to take up high paying engineering or law careers would choose instead to take on debt.
via NY Times Mag