Biden’s bribe to the rich: student loan forgiveness

The rich get richer, goes the old saying. And President Joe Biden wants to keep it way.

Happening in Point: White House announced main move on student debt canceling it for nearly 40,000 borrowers and bringing 3.6 million closer to forgiveness. Yet student-debt relief mostly benefits those who are betteroff.

Yes, like lot of progressive agenda, it’s framed as “justice” – with mass contingent of Democratic lawmakers call for relief late last month like way “advance justice as our nation works towards rebuild stronger and more fair economy”.

But look at the numbers. January newspaper from left-oblique Brookings Institution showed just how uneven student debt spreads, with almost a third of all US student debt richest 20% owe of households, while the bottom fifth of workers owe less than 10% of such debt.

Students with academic degrees – doctors, lawyers and like – keep 40% of in debt.

And another recent study shows what a universal student-debt pardon these Democrat lawmakers demand will benefit the top 10% of miners 5 times the same as below.

student loan freeze was in place since then start of pandemic already kept these mostly well-off borrowers $195 billion in loan payments, even though economic life has become more difficult for those below down economic ladder. Unemployment for at the same time, the proportion of people with higher education is less than 2%.

It’s all forgiving student loans are a sop to the wealthy off can’t be a surprise for anyone with more than fleeting knowledge of a life in this country: vast majority of American adults not have higher education and who inclined earn more.

So why push for forgiveness? Well and big chunk of those debtburdened, well-educated Democratic voters who live in suburban areas where party trying to get ashore up votes. Forgiveness would also appeal to younger voters, including Biden support collapsed.

It’s the exact opposite of net worth: wealth transfer already rich to bribe key Democratic constituencies, and both an insult and injury to less goodoff.

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