{"id":1629541,"date":"2022-09-01T11:04:13","date_gmt":"2022-09-01T15:04:13","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1629541"},"modified":"2022-09-01T11:04:18","modified_gmt":"2022-09-01T15:04:18","slug":"bidens-student-loan-relief-will-lead-to-severe-tax-hikes-more-inflation-economists-say","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/bidens-student-loan-relief-will-lead-to-severe-tax-hikes-more-inflation-economists-say\/","title":{"rendered":"Biden\u2019s Student Loan Relief Will Lead to Severe Tax Hikes, More Inflation, Economists Say"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">28<\/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-student-loan-relief-will-lead-to-severe-tax-hikes-more-inflation-economists-say%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=1629541&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><em>News Analysis <\/em><\/p>\n<p>President Joe Biden\u2019s ambitious plan to eliminate $10,000 of federal student debt, and $20,000 for those borrowers who received federal Pell Grants, will worsen the government\u2019s roughly $30 trillion deficit while giving the incumbent party a justification to raise taxes steeply in the near future, economists who study the issue have told The Epoch Times.<\/p>\n<p>Though often presented as an altruistic measure that will ease or wipe out the burden of indebtedness for those who had no choice but to borrow to fund their education and who now struggle with payments, the plan comes with significant moral hazard. It will foster reckless financial behavior and prove politically divisive as other categories of borrowers wonder why their own needs are considered secondary, the economists say.<\/p>\n<p> <strong>Economic Factors<\/strong> <\/p>\n<p>The administration\u2019s claims that the plan is \u201cpaid for\u201d because of anticipated changes to the size of the federal deficit this year are controversial and <a href=\"https:\/\/www.nytimes.com\/2022\/08\/30\/business\/economy\/biden-student-loans-economists.html\">have met with skepticism<\/a> even among former Democratic officials such as Lawrence Summers, who served as Secretary of the Treasury under President Bill Clinton.<\/p>\n<p>Though praised by some grateful debtors and Democrat politicians, the question of the new measure\u2019s feasibility, and who will pay for it and how, remains largely unanswered, some economists say. Opponents and supporters do not line up along partisan lines. The bipartisan consensus is that Biden\u2019s plan is a tall order, believes Gary Wolfram, a professor of economics at Hillsdale College.<\/p>\n<p>Even nonpartisan organizations with no animus against Biden have noted the exorbitant costs that will befall not only the wealthy but average taxpayers at the back end, Wolfram told The Epoch Times.<\/p>\n<p>\u201cThis is going to cost taxpayers\u2014the average person out there\u2014about $500 billion, according to the <a href=\"https:\/\/www.crfb.org\/\">Committee for a Responsible Federal Budget<\/a>, which is a pretty middle-of-the-road group,\u201d Wolfram said.<\/p>\n<p>The<\/p>\n","protected":false},"excerpt":{"rendered":"<p>News Analysis President Joe Biden\u2019s ambitious plan to eliminate $10,000 of federal student debt, and $20,000 for those borrowers who received federal Pell Grants, will worsen the government\u2019s roughly $30 trillion deficit while giving the incumbent party a justification to raise taxes steeply in the near future, economists who study the issue have told The [\u2026]<\/p>\n","protected":false},"author":669,"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-1629541","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\/1629541","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\/669"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1629541"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1629541\/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=1629541"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1629541"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1629541"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}