Biden's student loan forgiveness plan proves only suckers play by the rules

Student debts cannot be forgiven, they can only be transferred. With Biden’s executive action this week, that means you and I are on the hook for an estimated $364 billion.

Of course, the president won’t “forgive” the new debt he saddled us with. In fact, he just hired 87,000 new IRS agents to collect it.

Announced on Wednesday, the federal government will transfer up to $20,000 of debt for Pell Grant recipients and up to $10,000 for those who didn’t receive that grant. The sweetheart deal is available to single Americans earning under $125,000 per year, or $250,000 for married couples.

My family would qualify for this program, but we skipped the McMansion in the exurbs and Caribbean vacations and paid off our student loans instead.

What suckers.

Rack up debt, then make others pay for it

In Biden’s America, playing by the rules is a fool’s game. The irresponsible will be rewarded at your expense. The clear lesson: Get yours by making the Beltway take it from someone else.

Working-class friends who couldn’t afford four years at university joined the military, learned a trade or used their native skill for jobs in sales or technology. They won’t see their office rent, truck payments or small business loans “forgiven.” Those saps chose to be responsible and will be punished accordingly.

After enrollment drop:This community college offered free tuition

Guess they should have hired some lobbyists.

“Good news for thousands of my former students,” Harvard Law professor Laurence Tribe tweeted in reaction to the scam. “I’m grateful on their behalf, Mr. President.”

It’s about time Harvard Law grads got a break in this world.

You can’t expect the elite university to spend their $53.2 billion endowment helping their struggling alumni; let plumbers in Peoria and landscapers in Lake Havasu pay for Schuyler X. Hamilton III’s legal education. He needs his money for the Tesla payments.

Biden's plan could make inflation worse

Then there’s the idiocy of Washington pushing this boondoggle in a time of soaring inflation.

Harvard economist Lawrence Summers said, “[s]tudent loan debt relief is spending that raises demand and increases inflation. It consumes resources that could be better used helping those who did not, for whatever reason, have the chance to attend college. It will also tend to be inflationary by raising tuitions.”

Summers added, “Every dollar spent on student loan relief is a dollar that could have gone to support those who don’t get the opportunity to go to college.”

No one who took Econ 101 thinks this is a good idea, whether they took out a loan for that class or not.

Obama’s top economic adviser Jason Furman also warned of higher inflation. “Pouring roughly half trillion dollars of gasoline on the inflationary fire that is already burning is reckless,” he said. “Doing it while going well beyond one campaign promise ($10K of student loan relief) and breaking another (all proposals paid for) is even worse.”

Even Democrats are sounding the alarm

Even some elected Democrats are sounding the alarm. Rep. Chris Pappas, D–N.H., warned the scheme “doesn’t address the underlying issue of the affordability of higher education.” Need I mention Pappas is in a tight reelection campaign?

Biden’s move, or course, is completely unconstitutional; House Speaker Nancy Pelosi admitted as much last month.

“People think that the president of the United States has the power for debt forgiveness. He does not,” Pelosi said. “He can postpone, he can delay, but he does not have that power.”

Pappas agreed. “This announcement by President Biden is no way to make policy and sidesteps Congress and our oversight and fiscal responsibilities,” he said.

President Biden’s announcement on student loans violates our Constitution, weakens our shaky economy and betrays every fiscally responsible citizen.

But at least it helps a few Harvard Law grads spend a week in Aruba.

Jon Gabriel, a Mesa resident, is editor-in-chief of Ricochet.com and a contributor to The Republic and azcentral.com. On Twitter: @exjon.

This article originally appeared on Arizona Republic: Biden student loan forgiveness hurts those who play by the rules