President Barack Obama hosted a conference call Monday across the nation with college  and university student journalists in order to address issues pertaining to their generation and provide them with an opportunity to ask him questions directly.

The president outlined plans intended to aid students who wish to attend college as well as assist students post-graduation.

“We have fallen behind,” he said. “In a single generation, we’ve fallen from first to 12th in college graduation rates for young adults, and if we’re serious about building a stronger economy and making sure we succeed in the 21st century, then the single most important step we can take is to make sure that every young person gets the best education possible—because countries that out-educate us today are going to out-compete us tomorrow.

“So what I’ve done, starting with this past year’s State of the Union address, is proposed that by 2020, we once again are number one and have the highest proportion of college graduates in the world,” he said. “And we’re trying to put in place some policies to help us meet this goal.”

Those policies, he said, include making college more affordable by changing the way federal loans are administered.

“Instead of handing over $60 billion in unwarranted subsidies to big banks that were essentially getting this money even though the loans were guaranteed by the federal government, we’re redirecting that money so that it goes directly to students,” Obama said. “And that’s allowing us to support community colleges and make college more affordable for nearly eight million students and families.”

Raising the value of Pell Grants, making sure future borrowers are able to choose a plan that ensures they never have to pay more than 10 percent of their salary each month to service student loans (beginning in 2014), simplifying financial aid forms and allowing those who go into public service and keep up with payments to have their loans forgiven after 10 years are also a part of the president’s plan.

Corey McCormick, a senior majoring in geology, said he thinks the idea of a 10 percent cap on loan repayment is a step in the right direction.

“I don’t have student loans, but being able to keep the better part of their paycheck every month after graduation will help a lot of students,” he said. “It’s unfair for creditors to take whatever they want out of your checks.”

Obama said he has also thought of ways to help young adults with health insurance costs, which will play into allowing more people to attend college and obtain degrees.

“Another important way we’re making college more affordable, under the Affordable Care Act, my health care bill, is that young adults can now stay on their parents’ health plans until they’re 26 years old,” he said. “And that obviously provides relief to a lot of young people who are looking maybe at their first job not providing health insurance.”

John Mathieu, a UA alumnus who now attends graduate school in Atlanta, said he has student loans to cover the cost of tuition as well as the cost of living. However, he said, he hopes to be able to support himself without his parents’ assistance relatively soon after he graduates in 2012.

“I will stay on my parents’ insurance as long as I am in school,” he said. “But once I graduate, I hope to get a job and my own insurance. Hopefully long before I’m 26.”

Though the president said he is taking steps to assist students and their generation as a whole, he said it’s important for them to become politically aware and politically active.

“I just want to remind young people, they’ve got to get reengaged in this process,” Obama said. “And they’re going to have to vote in these midterm elections.  You’ve got to take the time to find out where does your congressional candidate stand on various issues, where does your senate candidate stand on various issues and make an educated decision and participate in this process.”

Despite the nation’s current economic state, Obama encouraged students to remain optimistic, offering them the assurance that their worries about obtaining a job after graduation will be alleviated.

“I think your generation is going to be just fine,” he said. “We’ve gone through the worst financial crisis since The Great Depression, and so things are really tough for young people right now.  But having said that, if you are getting a college degree, if you’ve got skills in math and science or good, sound communication skills, there are still jobs out there even in a tough environment.  And nine out of 10 people who are looking for work can still find work.”

And the U.S., he said, is still the best place one can live.

“I know we’ve gone through a tough time these last two years. And I do worry sometimes that young folks, having grown up or come of age in difficult economic times, start feeling as if their horizons have to be lowered and they’ve got to set their sights a little bit lower than their parents or their grandparents.  And I just want to remind people that you guys all have enormous challenges that you’re going to have to face, but you continue to live in the most vibrant, most dynamic, wealthiest nation on Earth,” he said.