Top Obama Economist Slams Biden Admin’s Student Loan ‘Forgiveness’ Agenda

Not that long ago, Joe Biden appeared to be doing something right. The far-left was demanding him to extend their student loan payment freeze. But the administration claimed they wanted a “smooth” return to students paying back those government loans.

But before the news was even out, Biden once again caved to the far left. He extended the student loan payment freeze into next year. This weekend, his lackey Kamala Harris even went further. She claimed Democrats need to eliminate student loan debate. Now, a former top economist for Obama is striking back.

Vice President Kamala Harris said during an interview that aired on Sunday that Democrats need to fight for student debt forgiveness which comes as a former top economist in the Obama administration said that the idea was “highly regressive.” […]

When pressed by Brennan on whether it was important to deliver on debt forgiveness for student loans before the midterms, Harris responded, “Well, I think that we have to continue to do what we’re doing… Yes.”

Larry Summers, who served as the 71st United States Secretary of the Treasury from 1999 to 2001 and as the 8th Director of the National Economic Council from 2009 to 2010, pushed back on student debt relief in a series of tweets on Friday, writing: “Judged purely in terms of economic impacts, the Administration’s decision to extend student loan moratorium is highly problematic.” [Source: Daily Wire]

Summers, who serve in Obama’s administration, criticized the idea of student loan debt forgiveness. He said the original student payment freeze was supposed to “sunset” saying debt relief is highly regressive. He explained something that Democrats obviously missed, saying adults with student loans have a “much higher lifetime income” than those in the lower classes.

What that means is that you shouldn’t forgive loans for people who have the money to pay for them! A student just coming out of college probably can’t repay the loan now. But they are supposed to be getting good jobs with that degree the government paid for. So, over time, they can easily pay back the loan.

Why are Democrats so stupid to think they should just forgive these debts—when Summers believes it’s better for them to focus on helping the poor? AOC and Harris admitted it: it’s about the midterms.

Democrats are poised to lose big time next year. The could lose the House and the Senate, not to mention key races across every state. They have no clout or message that can inspire or encourage voters (nor can they rely on voter fraud, as they did in 2020). So, one of their last-ditch scheme is to bamboozle young voters into backing them by promising student loan debt forgiveness.

A terrible idea, of course. But this is all they have left. Their socialist spending bill failed, thanks to Joe Manchin. Biden has tanked the economy, the border, and our rights. All they have left is dangling the prospect of canceling student loans.

But even then, they are going to fail.

Author: Marcus Smith