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- What Makes a College 'Military Friendly'?
payments to lenders in the [guaranteed loan] program and the government’s collection of interest in the direct loan program at a rate that is higher than the discount rate used in the subsidy calculation." It adds: "A third, lesser factor is the difference in how much of the recoveries on defaulted loans the government retains in the two programs. Finally, a small portion can be ascribed to the fact that the subsidy calculations for the two programs treat administrative costs
differently."
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