CNBC: This could be huge'--economists weigh in on Biden's proposal to forgive $10,000 in student debt

[SheltieLover]

https://www.cnbc.com/amp/2020/10/23/biden-proposes-forgiving-10000-in-student-debt-for-public-service.html

Since President Trump took office, the total amount of student loan debt held by Americans has increased more than 16%, from $1.44 trillion in 2017 to roughly $1.68 trillion today.

An estimated 46 million Americans have student loans, making it the second biggest form of household debt in the country.

Snip

To address such concerns, Democratic presidential nominee Joe Biden has proposed creating a program that offers $10,000 of undergraduate or graduate student debt relief for every year of national or community service, up to five years.

According to the proposal, "Individuals working in schools, government and other non-profit settings will be automatically enrolled in this forgiveness program; up to five years of prior national or community service will also qualify."

More at link.

[canetoad]

1. Meh

Always good to reduce student loan debt. I dont see a story here.

[SheltieLover]

3. I believe it is about the community service

[Thekaspervote]

2. Maybe some of the youth vote that is showing up at the polls?

[SheltieLover]

5. Could be!

[elleng]

4. '46 million Americans have student loans, making it the second biggest form of household debt

in the country.'

[SheltieLover]

6. Absolutely!

And they graduate to a gig economy!

[Cicada]

7. This isn't the only Biden student debt relief program

Everyone with income below a certain level will get $10,000 debt relief as a covid stimulus, for instance, no matter what college, no matter where you work.

[SheltieLover]

8. Absolutely!

Ty for sharing!

[meadowlander]

9. Doesn't this already exist (i.e. the Public Service Student Loan Forgiveness Programme)?

[SheltieLover]

10. I think the forgiveness is much lower.

And very very difficult to have loans forgiven. I know people who have tried. Ridiculous!

Hopefully, this will be better.

[meadowlander]

13. It might be

we forgive the debt at the end of 10 years if you haven't earned enough money to pay it off yourself, whereas this would be every year you get another $10K wiped?

Anyway, it would be a lot simpler to just forgive the $10K debt for everyone than to work out which jobs are deserving or not. The problem is that people with massive student loan debt can't find jobs in the first place and/or don't get to be picky about which jobs they take.

I would qualify for the existing program except I didn't work in public service in the US. But if I had done exactly the same job through the Peace Corps I would have qualified. Go figure.

[DFW]

11. Now, THERE is a concept that no Republican would ever dream of introducing

They tend not to like suspect stuff like education unless it's in the form of indoctrination (and they call US "kommanists!" ).

[SheltieLover]

12. Absolutely!

"Thunking," especially independently, & reading are bad things to them.