Who Is Better For The Middle Class: Republicans or Democrats?
Biden’s New Decision To Make Inflation Worse
Top financial experts are now warning that if President Biden decided to cancel student loan debt for a large enough amount of Americans, it will lead to even worse inflation.
According to Fox, president of the Committee for a Responsible Federal Budget (CRFB) Maya MacGuineas openly admitted that Biden canceling student debt “may be an extremely appealing political talking point, but it is not good policy.”
MacGuineas further explained, “It is costly, inflationary, poorly targeted, and fails to address the root problems in our higher education financing system. Full debt cancellation would be a massive hand-out to rich doctors and lawyers, would worsen our inflation crisis, and would cost almost as much as the entire 2017 tax cuts.”
It’s not just mass debt cancellation either. MacGuineas warned that even partial debt cancellation could have a tremendous impact on the economy.
“Even partial debt cancellation would be costly, regressive, and inflationary,” she explained. “Forgiving $10,000 per person of debt would cost as much as universal pre-K or a full extension of the expanded ACA subsidies.”
“Either the President is serious about reducing deficits and getting inflation under control, or he is not. The White House can’t have it both ways,” MacGuineas added.
If Biden goes through with this and cancels student loan debt he will only be doing it to gain votes and keep Democrats in power. Biden and his entire administration knows that canceling student loan debt could seriously harm the economy.
