{"id":1626103,"date":"2022-08-29T19:02:41","date_gmt":"2022-08-29T23:02:41","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1626103"},"modified":"2022-08-29T19:03:19","modified_gmt":"2022-08-29T23:03:19","slug":"bidens-loan-forgiveness-decree-proves-the-inflation-reduction-act-was-a-joke","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/bidens-loan-forgiveness-decree-proves-the-inflation-reduction-act-was-a-joke\/","title":{"rendered":"Biden\u2019s Loan \u2018Forgiveness\u2019 Decree Proves \u2018The Inflation Reduction Act\u2019 Was A Joke"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"float:left\"><div class=\"counts mashsbcount\">24<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fbidens-loan-forgiveness-decree-proves-the-inflation-reduction-act-was-a-joke%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1626103&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><p>The so-called \u201cInflation Reduction Act\u201d was <a href=\"https:\/\/www.whitehouse.gov\/briefing-room\/speeches-remarks\/2022\/08\/16\/remarks-by-president-biden-at-signing-of-h-r-5376-the-inflation-reduction-act-of-2022\/\" target=\"_blank\" rel=\"noreferrer noopener\">signed<\/a> by President Joe Biden on Aug. 16. On Aug. 24, a mere eight days later, the same president <a href=\"https:\/\/www.whitehouse.gov\/briefing-room\/statements-releases\/2022\/08\/24\/fact-sheet-president-biden-announces-student-loan-relief-for-borrowers-who-need-it-most\/\" target=\"_blank\" rel=\"noreferrer noopener\">announced<\/a> his student debt \u201cforgiveness\u201d decree.<\/p>\n<p>Let\u2019s, for the sake of argument, momentarily take the Dems at their highly dubious word and accept that the \u201cInflation Reduction Act\u201d was not only a \u201chistoric\u201d Earth-saving \u201cinvestment\u201d but one that also <a href=\"https:\/\/www.democrats.senate.gov\/imo\/media\/doc\/inflation_reduction_act_one_page_summary.pdf\" target=\"_blank\" rel=\"noreferrer noopener\">saved<\/a> taxpayers $300 billion by implementing a new tax hike <a href=\"https:\/\/thefederalist.com\/2022\/07\/28\/the-dems-new-proposal-does-nothing-to-lower-inflation\/\" target=\"_blank\" rel=\"noreferrer noopener\">on consumers<\/a> and a <a href=\"https:\/\/thefederalist.com\/2022\/08\/10\/irs-hiring-spree-is-the-biggest-expansion-of-the-police-state-in-american-history\/\" target=\"_blank\" rel=\"noreferrer noopener\">six-fold expansion<\/a> of the IRS. And let\u2019s suspend our disbelief and ignore the fact that virtually every welfare-state program ends up existing in perpetuity, experiencing mission creep, and costing vastly more than initial projections.<\/p>\n<p>A new Penn Wharton Budget Model study <a href=\"https:\/\/budgetmodel.wharton.upenn.edu\/issues\/2022\/8\/26\/biden-student-loan-forgiveness\" target=\"_blank\" rel=\"noreferrer noopener\">finds<\/a> that President Biden\u2019s \u201cstudent loan forgiveness\u201d will cost taxpayers $605 billion\u2014or approximately $300 billion more than the historic recently passed inflation-reducing law was allegedly cutting. That\u2019s using \u201cstatic\u201d assumptions. The Penn study also finds that probable variations in behavior, due to an income-driven repayment program that caps monthly payments (as if the moral hazard of nationalizing loans wasn\u2019t bad enough), is likely to drive the cost of the program over $1 trillion:<\/p>\n<blockquote class=\"wp-block-quote\">\n<p>There would also be financial incentives for future borrowers to shift education financing toward more borrowing to take advantage of the 5% repayment threshold. If the Department of Education simply auto-enrolled borrowers for which it had sufficient information (i.e., switched from \u201copt in\u201d to \u201copt out\u201d), the additional costs of the IDR program alone could reasonably exceed $450 billion.<\/p>\n<\/blockquote>\n<p>Yet, the same political media that suddenly grapples with defining a \u201crecession,\u201d and regularly refers to Florida\u2019s parental freedom bill as \u201cDon\u2019t Say Gay,\u201d has simply regurgitated the Democrats\u2019 propagandistic \u201cinflation\u201d bill language, even though anyone who\u2019s spent five minutes in Washington understands that the \u201csavings\u201d were nothing but accounting gimmicks meant to allow Joe Manchin and others to tell their constituents that inflation concerns were satisfied. And by the way, where is the principled Manchin today? After helping Democrats play this transparent game where socialists demand $5 trillion and then <em>settle<\/em> for a bill with an estimated price tag of $740 billion, he is silent on Biden\u2019s <a href=\"https:\/\/thefederalist.com\/2022\/08\/24\/bidens-student-loan-forgiveness-is-an-unjust-cynical-abuse-of-power\/\" target=\"_blank\" rel=\"noreferrer noopener\">trillion-dollar unconstitutional spending decree<\/a>. <\/p>\n<p>Even if we believed all the fabricated numbers found in the \u201cInflation Reduction Act,\u201d not only did Biden\u2019s loan \u201cforgiveness\u201d decree blow up any pretense that the reconstructed \u201cBuild Back Better\u201d bill was even nominally about stemming inflation, but it blew it up in just eight days. <\/p>\n<hr class=\"wp-block-separator\" \/>\n<div class=\"article-author-description fst-italic\">\n  David Harsanyi is a senior editor at The Federalist. Harsanyi is a nationally syndicated columnist and author of five books\u2014the most recent, <a href=\"https:\/\/www.amazon.com\/Eurotrash-America-Reject-Failed-Continent\/dp\/0063066017\/\">Eurotrash: Why America Must Reject the Failed Ideas of a Dying Continent<\/a>. His work has appeared in National Review, the Wall Street Journal, Washington Post, Reason, New York Post, and numerous other publications. Follow him on Twitter, <a href=\"https:\/\/twitter.com\/davidharsanyi\/\">@davidharsanyi<\/a>.<\/div>\n<div class=\"article-comments mt-30 mt-sm-60\">\n<div class=\"article-comments-container d-flex flex-column align-items-center py-30\">\n    <img loading=\"lazy\" decoding=\"async\" width=\"110\" height=\"106\" src=\"https:\/\/thefederalist.com\/wp-content\/uploads\/2021\/12\/fdrlst-mark.svg\" class=\"img-fluid mb-20\" alt=\"The Federalist logo eagle mark\" \/>    <\/p>\n<p>Unlock commenting by joining the Federalist Community.<\/p>\n<p>    <a href=\"https:\/\/thefederalist.com\/plans\/pricing\/\" class=\"btn btn-on-white\">Subscribe<\/a>  <\/div>\n<\/p><\/div>\n","protected":false},"excerpt":{"rendered":"<p>The so-called \u201cInflation Reduction Act\u201d was signed by President Joe Biden on Aug. 16. On Aug. 24, a mere eight days later, the same president announced his student debt \u201cforgiveness\u201d<\/p>\n","protected":false},"author":831,"featured_media":2315279,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"","fifu_image_alt":"","footnotes":""},"categories":[],"tags":[],"class_list":["post-1626103","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry"],"_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1626103","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/831"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1626103"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1626103\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2315279"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1626103"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1626103"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1626103"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}