The big news this week involved President Joe Biden finally making good on a campaign promise to forgive at least some student loan debt. Many Leftists were overjoyed (mainly because I’m sure a number of them would be the beneficiaries of the President’s generosity), but there are more than a few people who are expressing concern about whether the student loan forgiveness initiative would be as effective and as expensive as promised.
Regardless of the boondoggle…I mean efforts to address student loan debt, there are a lot of questions to be asked. And I’m just the killjoy asshole to ask them.
student loan forgiveness
What the Left thinks it means – a compassionate move that will help college students and the economy at the same time
What it really means – the start of a lot of economic, Constitutional, and legal chaos with the stroke of a pen
On paper, student loan forgiveness sounds good. By forgiving up to $10,000 of loan debt, debtors and former debtors would have more money at their disposal, which could then be recirculated into the economy in all sorts of ways. And 10 grand will buy a lot of Starbucks and avocado toast!
Which some of these students complaining about the amount of loan debt they have to pay off are already buying in the first place, but we’re not supposed to know that…
Although the thought of more money going towards iPhones and gaming consoles is tantalizing to the capitalist in me, the long term implications are scarier than having Bill Clinton show up at your doorstep to pick up your daughter for a date. (Hey, at least it’s not Charlie Sheen!) And knowing how our friends on the Left aren’t known for planning any further out than the length of a TikTok video, you can bet few, if any, of the loudest proponents have given much thought to what I’m about to lay out for you.
Then again, it might be because I’m a weirdo. Either way, here goes!
– The Constitution may not grant the President the powers necessary to make this happen. President Biden’s actions came to pass because of an Executive Order, which is pretty much the President saying, “Do this because, fuck you, I’m the President.” Well, the Executive Order isn’t exactly a one-and-done situation because it can be challenged Constitutionally. And that brings us to Article I, Section 8 of the Constitution, which authorizes Congress “to pay the Debts and provide for the common Defence and general Welfare of the United States…” Now, last time I checked, President Biden was no longer in Congress, even though he spent most of my life in it. That means unless Congress signs off on it, it ain’t happening for long before the Supreme Court gets involved. And with the current makeup of the High Court, you can bet Biden’s Executive Order will get smacked down harder than Mike Tyson beating up Richard Simmons.
– It has the potential to fuck up contract law. A loan is a contact between a lender and a borrower. With student loans, the lender is often the government. And, we all know how fiscally responsible it is, amirite? Anyway, forgiving even a portion of the debt affects the existing contract. Even though the government is one of the particulars of the loan in this case, it has the potential to set precedent once a court gets involved. Get the right judge in the right court to rule in a certain way and before you can say “habeas corpus” the government has the authority to alter any contract it wants, possibly even if it’s not a party to the original agreement. Welcome to Legal Chaos Land, population…well, us.
– The economic impact isn’t as cut and dried as we’ve been told. It seems intuitive that if you give people more money they will spend it. That’s been borne out with tax cuts and credit cards for decades, although the Left still isn’t convinced of the former. Now, add in a little thing called inflation, which all of us are enduring right now. If you have to take out a third mortgage to get groceries, no amount of money from the forgiving of existing student debt will help for very long.
– It doesn’t fix the underlying problems. There are a few reasons why student loan debt is so high. Part of it is the rising tuition costs. Since 1980, average tuition costs have risen by 1200%. And, no, that’s not a typo. And since tuitions have gotten higher than Willie Nelson on 4/20, the federal government has had to lend more money to students. And that includes interest with rates and conditions that make payday loan sharks look legit. Of course, once colleges and universities know the government will keep forking over the money, they will find reasons to keep raising tuition, and the cycle begins anew. And there is no incentive for either party to change that dynamic after some of the loans are forgiven. The college/university still gets its money, and the government gets to look like it cares about people. They don’t, of course…
– Once you get a bite of the apple, you’ll want more. By nature, humans tend to be greedy, self-serving, and always looking to push the limits to see what they can get away with. Right now, it’s only $10,000 that will get forgiven, but does it end there? Judging from recent government boondoggles…I mean programs like TARP and PPP, it’s likely there will be more demands for other and more financial assistance. Next, it will be $20,000, then $50,000, then it will be because free range artesian goat cheese costs have gone up, and before you know it, just about every whim will come with a federal grant. You know, like the National Endowment for the Arts?
There are others drawbacks, but I think you get the idea. Now, if you could explain it to the Left, we might be getting somewhere.
Right now, the Left is counting on the compassion card to get us not to think about the nagging questions of the wisdom of student loan forgiveness. For most of the population, it works. We don’t want to see people suffer, but there are also limits. If people suffer as a result of dumb decisions, our compassion tends to go the way of David Duke Appreciation Night at the Apollo. It’s the old “hand up, not hand out” mentality, and it still works today. I’m all for giving people a chance to apply themselves and earn some scratch from the sweat of their brows. Being allowed to have a chunk of your student loan that you’ve accumulated by studying Post Modern Albino Inuit Gender-Queer Photography in 16th Century Burma without even chipping a nail? Not so much.
And it’s not because I want college students to suffer under excessive debt. It’s because I want them to understand the feeling of earning something instead of just being granted it. Yes, not everybody will win a trophy under this mindset, but it will mean more when you do because you learn what you’re made of and what you’re worth. Platitudes and payoffs don’t teach you anything but how to whine until you get your way. That doesn’t make you anything but an asshole with the potential to be a Karen when you grow up.
And God knows we have enough of those as it stands.
