Almost all of the Democratic presidential contenders have been pushing this idea of cancelling student debt. This latest drive of socialism may seem attractive if you are in student loan debt, obviously, but it solves no problems and only creates more. The first problem is; who is going to pay for it? If you have any debt to an institution and it is “forgiven” or “cancelled”, someone takes the loss. Nothing is free. For your debt to be forgiven or cancelled, someone, somewhere, eats a loss. Generally this loss will go to the taxpayers to cover the loss by injecting tax dollars into the institution that is eating the loss. OK, so we will just redirect tax dollars from somewhere else, like, say the military budget. Alright so now the persons eating the loss is anyone associated with the military and also the country’s safety in general will take the loss because now the military budget is being cut to pay for random education. That’s just one example of how to “forgive” or “cancel” the debt. Someone has to pay in the end. Now lets take into consideration the grown adults that took out loans in good faith and completely understood the process of a loan. This person took out major loans, went to college, graduated, and got into a career. This person now works nonstop, balances their budget like an adult, and makes sacrifices in order to pay the debts. Eventually, after some long years of payments, their debt is paid in full, including interest. What happens to this poor soul after all the student debt is cancelled? Why did they have to pay their debts but nobody else does? Are they going to be reimbursed for this? If that were the case, they would need to forgive every penny, plus the interest on it at the time, and then reimburse the hardships of having to pay the massive debt off. Cancelling student debt is textbook socialism that redirects wealth to stupid people that cannot be responsible for their own actions. This is like holding a competition for something, declaring a winner, and then afterwards saying that everybody won. Elizabeth Warren has said people that have already paid their student loans will not receive any reimbursement. Therefore, the people that are the most responsible adults, the ones that made smart economic life decisions and actually worked hard to achieve their goal completely are the ones who will be paying the ultimate price. They had to pay for their own education, and now they’re going to have to pay for everyone else’s too.
In my source listed below it shows a man that asked Warren about this very thing. He had saved up money for years to pay for his daughters student loans and asked Pocahontas if she planned to reimburse that. She said, “of course not”.
I will continue this article along with an anecdotal story about student debt on my Patreon: