I’m sorry not to be a college student again. Then again, when I was, I worked three jobs (intramural referee, bus driver, and customer service rep) and attended a reasonably priced state university over an expensive private school and thus never took out any student loans. Boy, would I have simultaneously felt stupid for working and mad too that my lazy roommate, who went to keg parties three nights a week and did take out loans, would get his education for nothing, while my parents and I paid for my own?
Senator Elizabeth Warren announced this week she would take executive action “on day one” to wipe out most student loan debt, citing a loophole in the Higher Education Act of 1965 that appears to allow the Secretary of Education to do it. Legal challenges would inevitably follow such a move. Mark Kantrowitz, the publisher of Savingforcollege.com, stated, “Congress didn’t mean to abrogate its responsibility and allow the Secretary of Education to spend $1 trillion. I don’t think Warren’s plan would even pass the legal counsel of the Department of Education, let alone a court challenge.”
Warren’s idea compares with a similar plan from Senator Bernie Sanders, who proposed loan forgiveness through legislation. The current Secretary of Education, Betsy DeVos, has called all such ideas “crazy.” Indeed they are.
Besides the industrious types like me who chose to work and the parents who very thoughtfully saw college coming for 18 years and took steps to plan for it with 529 plans and such, what do those who choose not to attend college get out of the deal?
That college costs have soared above inflation is not in dispute. However, the federal government already subsidizes students annually to the tune of billions. Further, Congress is part of the problem because when it votes periodically to increase Pell grants and the like, colleges simply follow suit with near-identical hikes in their sticker prices.
Needless to say, wiping out student debt competes with “Medicare for all” for being too extreme and too expensive, with its trillion-dollar price tag. And the question truly is this—will the Far Left seek to wipe out home mortgages next?
If so, time to buy a bigger house!