I mean, seriously. I was stupid enough to take on the burden of student loans. At least give me the dignity of having the responsibility of paying them off.
Isn’t that the argument.
There’s an unspoken agreement between a country and its youth.
The youth works hard and takes on debt at a pivotal moment losing years of work opportunity to specialize in something that will contribute to the economy.
In return the country is to provide a stable economy to find work in to repay that debt.
Question is When the country fails their end, the student Still owes and is behind in experience. This debt can ruin them for decades. So should the government help repay to compensate for shitting the bed
-
Because your student loans can not be discharged in bankruptcy, you have personally assumed all of the risk, as such your interest rate should be zero.
-
Therefore the most fair and equitable solution is to retroactively set the interest rate to zero, and refund all interest payments to the borrowers.
What say you?
I wouldn’t even mind the interest, if 100% of the interest was used to fund future student loans for the next wave of students. Banks don’t want to give out loans they won’t make money from? Make it a requirement to qualify for any future bailouts. We’re due for another in a couple of years
Interest rate should be zero only if inflation did not exsist.
Interest rates represent the opportunity cost of investing that money elsewhere, of which lending risk is only one component. Also, the point is moot because lenders can still lose money if borrowers default, even if borrowers cannot legally discharge the debt in bankruptcy, so the lender does hold risk.
-
Millions of dollars that are going to banks every month instead of the local economy doesn’t spur vibrant small business.
How? How do you foster this economy? Through what means?
Cutting taxes, removing frivolous programs, making it easier to start a business, making it easier to run a business, removing unnecessary restrictions to spur innovation, reducing the military budget…there are a lot of ways.
We could remove the burden of employers to provide health insurance by providing single payer health care.
That’s a good start. To help employers more we could eliminate minimum wage and provide a safety net for entrepreneurs simultaneously via universal basic income.
I pay a lot of taxes. Those taxes are, primarily, used for the common good (schools, health care, roads, infrastructure etc.) Whatever is left of my paycheck I can spend as I see fit.
I doubt cutting taxes will help y’all. Putting taxes to good use will
Cutting taxes doesn’t trickle down. Making it cheaper and easier to run a business doesn’t either. Removing “frivolous programs” has tanked the economy.
If you want to see what caused the end goals you speak of it was the new deal. Massive public investment paid by high taxes on high earners.
Trickle down economics doesn’t work dude
I think student loan write-off is putting money in the hands of young, educated, mostly single people, which is aimed at spurring innovation by allowing people to take risks at the start of their careers. So it’s not all of the things you’ve listed, but it’s one of the things. It’s similar to cutting taxes in effect.
I’m in Singapore, it’s stupid easy to run and start a business (I’ve helped with a few startups myself). Doesn’t translate to better paying jobs, let me tell you that.
Hey ya want some more of that koolaid? Lmfao peddle this nonsense elsewhere.
Annnnnnd you lost all credibility. Complete drivel.
You’re not wrong. If wages had increased alongside cost of living and tuition increases then we wouldn’t be in this position now. We’ve been fighting for $15 dollars an hour minimum for so long that we really need $25 an hour.
Regan had this idea, it didn’t work.
Yeah, this is just trickle down economics, which we all know is total bullshit
When you come up with a realistic plan get back to us. And no dignity is derived from repaying debt that should never have been required in the first place.
Removed by mod
This is sort of true, but in fact demand has also risen a ton and colleges have not expanded or multiplied enough to keep up.
You got scammed and you want the dignity of paying off the con artist? Hey I’ll loan you some money too, and you can’t bankruptcy out of it.
The whole Economic point of free schooling is that people with a higher level of education can do work with higher value added, so better paid and also generating more wealth, hence they naturally end up paying back their education (and then some) because of the higher tax take, both directly that they themselves pay and indirectly because it enables more companies in high value added industries.
In other words, it’s an investment in people by the State.
This of course, only works when the economic environment actually uses such more highly educated people to generate more wealth using their capabilities for higher value added activities, which isn’t mostly the case nowadays in most of the West (you really don’t need highly educated workers to be a rent-seeker skimming money from the rest of Society).
By then again, as the original poster is postulating the fantasy and detail-free suggestion of “foster an economy with better-paying jobs” (further below the OP provides “tax cuts” as “detail”, which leads one to think maybe the OP has been living under a rock in the last 40 years of ever falling taxes, when the economy actually went in the direction of “worse-paying jobs”) I reckon my point requiring an economy geared for production rather than rent-seeking is actually more feasible and less “magical thinking”.
It’s an unpopular and unrealistic opinion. To change it into a good opinion regardless of popularity is to find the place where the situation currently lives and not in a theoretical.
While far from perfect, the system the UK has (had?) is a lot better, and can be implemented easily, and even retrospectively.
Basically, the loan is paid back as a percentage tax, over a (fairly high) set limit. If you don’t earn above that limit for 10 years, it’s written off. If you don’t pay it back after 20, it’s written off. The interest is tied to the Bank of England base rate, and so is basically inflation corrected.
By paying it off as a progressive tax, it doesn’t cause the stress levels a loan does. By having a set time limit, it discourages over-lending for courses. Loaning £20,000 for a basket weaving course will never get paid back. The same loan for a medical course is very likely. The course charges are also capped.
As for your situation, you’ve got to ask yourself, what is better for society as a whole? Large debts, particularly on the young can be devastating. It cripples the explosive growth of skills and lifestyle needed to fuel future growth of the economy.
If you truly want to maintain your dignity, why not accept the write off, and instead invest the money into a scholarship fund for future students? Those with pride can keep it, while those whose pride has been ground away under the load can get out from under their mistake.
I ought to report this post for violating the rules. It’s not an unpopular opinion. 👍🏻
