Interested to hear others opinions on Biden’s recent decision to forgive 10-20k in student loans.

1. What do you think the economical impact on inflation, jobs, the stock market etc Biden’s decision to forgive 10-20k student loans will have?

2. Are you in favor of it or not? Is it fair to those in the military, those who have paid off their student loans, or people who have other types of loans (mortgage, car needed for work etc)?

3. What would you do in Biden’s shoes? Are there different creative solutions not just as simple as forgive it or don’t?

4. Do you think it will actually take into effect or will it be shut down by the Supreme Court?

From what I can tell, the "inflation" impact is mostly irrelevant, just because this is pretty tiny as a portion of the total economy, far dwarfed by the types of regular FED moves to tighten or expand monetary supply that rarely move outside of business news.

1. I don't know the magnitude, but there will be negative effects. This is essentially printing money in an inflationary environment.

2. Not in favor, and it's not fair to others for obvious reasons.

3. If I were in Biden's shoes I'd work on fixing the root causes of college degrees that don't have an ROI. Step one is put back in the ability to clear student loan debt in bankruptcy (people forget that was always the case until GW). That will provide an incentive to the lenders to make quality loans and for schools to provide more value.

4. It will take effect, not sure how the Supreme Court would shut it down.

On the one hand, it's obviously unfair to those who paid off their loans. Plus they're getting doubly shafted by having to foot the tax bill as well. On the other, it's just as unfair the way kids whose parents probably didn't have the financial wherewithal and knowledge to at least minimize the damage from what I see as exploitive practices by colleges both in terms of handing out money like candy to kids and jacking up tuition costs. So I'm not really opposed to them getting a break from being taken advantage of. But it sure would be nice to see some better guidelines put in place and college endowment funds footing some of the tax bill otherwise rinse and repeat.

+1

1. Man who knows, the full economic impact of any policy is a crazy complex question. Probably it will induce some inflation like the critics say? Having an educated workforce almost certainly pays for itself over the long run.

2. Yes, and the greedy bitching from people who are fortunate to have paid off their loans is ridiculous. People in the military already have great options for funding their education.

3. A basic four-year degree from a community college is the modern equivalent of what a HS education was in my parents' day and it should be publicly funded by taxing the **** out of *******s like Donald Sterling.

4. Very hard to see how even the current SCOTUS would find this unconstitutional.

1) Its a significant amount of $ and will impact inflation a little bit

2) Not at all

3) Make the loans interest free , Have a bi partisan committee and have put these school leaders under oath and explain these ridiculous tuition costs. Allow student loan debt to be discharged in Bankruptcy

4) No they will not hear the case

Lets remember this was a campaign promise so if you voted for Biden he did what he said he would. He did flip flop on the amount during the campaign

What I did not know about student debt is that 50% of it is under $10,000 and another 20-30% is under $20,000 . I thought more folks carried more debt. I also never knew that the interest on these loans is crazy.

Id be curious how much debt is carried by folks that never got the degree and dropped out ?

Also lets remember 18 democrats including Biden voted to make it so Students can not declare bankruptcy on student loan debt

I'll go full what about since its appropriate in instances like this.

Why does anyone think these questions only ever come up, with such intense focus any and EVERY time a proposal is made where the beneficiary is the working middle class?

Are you blind to how YOU are manipulated when you think these are fair and good questions here but not when the same questions could be asked of the Trump Tax cuts, PPP loan forgiveness for those who do not need it, and other such significant programs that shifted the debt burden repayment and put more money in the pockets disproportionately of the wealth and rich?


Are average people not tires of being dupes in this game of 'OMG middle class people are about to disproportionately get benefits ...how will we pay for it.... what is the impact on debt'?



People who address the OP and engage in that discussion seriously, without considering what I say above are being duped. No other way to really say it. If these type of MC benefits get cancelled each and every time due to this outcry, it then opens the door to the GOP pushing thru ever more such cuts to the wealthy and rich and that is the game they play in manipulating you.

Why do you play it, if you are amongst those who do?

Oh so now your the judge on when a "whataboutism" is appropriate? I would guess that 100% of folks that think the Student Loan debt forgiveness is bad think the same of the Trump Tax cuts and how the PPP program was handled

Also why would it not apply to trade schools?

This has got to be a wildly inaccurate take.

1. Probably a wash but I'm no economist. You're not really injecting money into the economy right now as payback has been paused since COVID. Instead, you're preventing many people from losing discretionary funds once payback goes back into effect next year. I think there's some indication of inflation cooling so maybe this is part of an effort to not slide into a recession.

2. Fairness doesn't come into play for me, just whether it helps or hurts society. I don't think it hurts but I'm not sure how much it helps. It's not even a half measure in my eyes.

3. If I were in Biden's shoes and could only do what he's done i might have gone with the interest reduction now and held back the loan forgiveness until after the midterm. There's a real danger in my eyes of losing those who don't directly benefit from this because of sour grapes and not being able to see the forest for the trees. I don't see the beneficiaries of loan forgiveness swaying any elections.

If I could do anything, I'd make a four year degree and trade schools free like many other civilized countries. Tax money going towards making society more educated and skilled is good for everyone, even if you don't directly participate.

4. No idea.

Seems to me this is another payout to the upper class, just the portion of the upper class who hasn't been responsible enough to pay off their loans. People who went to an expensive college are hardly those most in need in our economy. And everyone who took out a loan was a legal adult who should have been able to decide if taking out a loan was right for them.

Personally, I could have gone to an expensive private or out of state university if I had wanted to take out loans. I knew I didn't want to be saddled with debt, which is one of the main reasons I decided instead to go stay living in my parents' house and go to a local school where I got a complete scholarship. This seems like a gimmick to win the support of entitled young people who have a higher income than I've ever had but spend most of it on luxury goods and services.

This x1000

What's so special about student debt that it gets to be forgiven?

I suppose it’s easy to screw over kids economically ?
They still lack tremendous amount of wisdom and knowledge on what is worth it and what isn’t ?

I mean was it that easy for you at 18-20 to make a decision and knew what u should end up study and doing for the rest of your life ?

It’s not like a 30 years old buying an over expensive house for example .
And again imho , education should be more a government expense then a student expense when it reach certain level .

Let’s not forget having an good education usually means they will pay higher taxes all through their career anyway for government expenses .
I don’t see why they should get penalize so much to actually get that over costly education to begin in .

Under Bankruptcy its the only debt not discharged. Not sure about tax debt in the USA that is

good point. lets cancel credit card, auto, mortgage, medical debt too.

There are of course meta reasons to focus on student debt specifically. First and foremost, higher education is where future Democrats go to be indoctrinated. So the Dems see declining enrollment in higher education as a threat to their future recruiting efforts. Through this round of debt cuts, and expectation of future rounds of cuts down the road, this will encourage young people to go to college by borrowing and become indoctrinated to the Democrat party.

Also, again as student debt is accrued mostly by present and future Democrats, but everyone will be paying it now that it is publicly subsidized, it is effectively economic warfare against non Democrats and more generally the poor.

No young kids have credit cards? Car loans? I guess they are really smart when using those types of loans.

oh noes, stop, don’t

Lol .
Doctors , lawyers , etc. are all democrats now…..

I don’t even myself 10k-20k + credit card .

I’m glad you are rich enough to have kids having that much credit availability on their credit cards .

Fwiw , u know what to expect when u have a car ( and u can resell the car ) , less so with an education if it’s not on a popular needed work market which imho can be difficult for a kids to perceive that .
Ie; trump university ?

its def politics to get out the base and try to grab a few undecideds or alienated votes.

but lololol at it being at all a problem for "the poor". its not like the massive wealth transfer that was the Trump Tax Cuts.

It will be subsidized by people who dont pay college loans (which includes most poor people by default) and will contribute to inflation, which is effectively economic warfare against the poor.

Just because it is not as effective a wealth transfer to the rich as Republican tax cuts (an arguable opinion) doesn't change any of this.

FWIW the last couple years has had an absolute explosion of high interest personal loans/credit cards targeted to young people. It is actually targeted specifically for them on social media platforms they use, like Instagram and Tik Tok.

Most of us are older than the target demographic and arent even aware this is going on. I read some article on this and they named some of the biggest lenders, and I had never even heard of any of them.