The one thing the Democratic Party is really good at is spending other people’s money. In fact, they’re so good at it, it’s almost become its own art form. No one has ever managed to take the money that most Americans work hard to earn and then totally waste it on things that are actually destructive for both our government and society at large, better than Democrats.
President Joe Biden’s new plan to cancel $20,000 of student debt for certain borrowers, according to budget watchdogs and Republican lawmakers, is going to completely obliterate the federal budget, make the already horrifyingly high inflation rate even higher, and then stick taxpayers with a shocking $600 billion dollars in new debt.
Thanks, Biden. Thanks a lot.
A report from Just the News, “A Wharton study estimates that Biden’s plan will cost about $300 billion in taxpayer funds. The Committee for a Responsible Federal Budget put the estimated cost of the cancellation plan between $400 and $600 billion.”
“When factoring in the student loan payment moratorium during the pandemic, the organization estimated that Congress has spent ‘between $700-$900 billion on student debt cancellation and relief since the start of the pandemic,’” the report went on to say.
“This announcement is gallingly reckless — with the national debt approaching record levels and inflation surging, it will make both worse,” CRFB President Maya MacGuineas stated. “Policymakers have already spent $300 billion on student debt relief — none of it paid for, and this would add another $400 to $600 billion, again none of it paid for. This action by the White House is completely at odds with their talk of deficit reduction. It could add twice as much to the deficit as was just saved from the Inflation Reduction Act, completely eliminating any deficit reduction and then some. With the stroke of a pen, the president undid a year’s worth of work on the fiscal front.”
MacGuineas went on to say that the cost of college tuition is a “huge problem” in America that must be addressed, however the plan Biden cooked up is not at all the way to do it.
“Forgiving $10,000 to $20,000 per person is costly and appears to be more of a political stunt than anything close to good policy,” she commented in a statement. “It would do nothing to actually make education more affordable, and if anything, this policy will drive up tuition costs while raising prices on a variety of other goods and services for ordinary Americans.”
Rep. Mike Rogers, an Alabama Republican, then said that the country is “already struggling with record-high inflation and a recession” and Biden’s “student debt scheme will only force Americans, who have already paid off their debts or who did not take on student debt, to foot the bill for his socialism.”
Another Republican, Rep. Virginia Foxx, who serves as a high-ranking member of the House Education and Labor Committee, explained Biden’s plan as a debt forgiveness scam.
“President Biden will say and do anything to appease his radical progressive base, even if it means bankrupting our country and kneecapping taxpayers in the midst of an inflation crisis,” she went on to say in a statement. “This is a slap in the face to those who never went to college, as well as borrowers who upheld their responsibility to taxpayers and paid back their loans. It’s a signal to every freshman stepping foot on campus to borrow as much as they can because taxpayers are picking up the tab.”
The problem with student loans started getting much, much worse when the government got involved in the racket. As they usually do, the left ignored common economic sense and, in an attempt, to supposedly help people get a higher education and have access to better job opportunities, lowered the standards necessary to qualify for loans.
Of course, tons of people signed up and went back to college. Which then flooded the job marketplace, increased the competition pool, and left tons of people unable to find work to be able to pay off their student debt.
And here we are.
Anytime radical leftists are involved in something like this, it turns into a complete disaster.