Americans on the hook for choices they didn’t make: another harebrained Biden scheme

As the Biden administration continues its bumbling path through a disastrous domestic policy agenda, its newest proposal might take the proverbial cake: blanket student loan forgiveness. Among the myriad of bad policies this administration has put forward over the last two years, none have been so blatant in pandering to the left-wing base as the recent move to forgive $10,000 in student loans. Make no mistake, for all their highbrow language there is nothing innovative to see here. This is contract nullification, plain and simple. Worse, student loan “cancellation” is actually the shifting of a financial burden from one individual to another. Their policy is nothing more than a redistribution of wealth from the working class to the elite to the tune of $300 billion. 

Some 43.4 million Americans—13 percent of the population—hold a total of $1.748 trillion in student loan debt. While the average student loan debt held by borrowers is $38,000, the median amount is $17,000. Often missing from the conversation about this accumulated debt is the purpose of incurring debt in the first place. Individuals willingly seek higher education opportunities of their own volition, borrowing money to do so, in order to invest in their education and future earning potential. 

Government data from the Social Security Administration demonstrates the tangible benefits of investing in a college degree. Both men and women with a college degree far outpace those without one in lifetime earnings by $900,000 and $630,000, respectively. That amount is even greater for men and women who obtain graduate degrees, outpacing those with high school degrees by $1.5 million and $1.1 million, respectively. 

At the end of the day, Americans have a choice in how they spend their time and money. Investing in education is a choice that individuals make, and loans are a tool used to achieve that objective. When an individual chooses to sign for a loan, both the lender and borrower are contractually obligated to abide by the terms and conditions. The Biden administration’s move to cancel student loan debt effectively eliminates that contract set in place to appease the loudest voices in our country, the elite. This action is supplanting the rule of law for the rule of the popular by forcing all Americans to subsidize the elite’s decisions for their education investments. Additionally, student debt cancellation notably comes at a time when all Americans—regardless of their educational background—are feeling the effects of record-high inflation that has only been fueled by this administration’s reckless tax and spend policy. 

This action does nothing for Americans who chose to forego college, save their money for other investments, and begin their careers without incurring debt. Nor does it do anything for those who worked hard to pay off their student loan debts. These individuals will surely not see a $10,000 check arriving in their mailbox for their arguably, objectively good decisions. And this action will do nothing to address the skyrocketing cost of college, which has increased 211 percent at in-state public universities over the last 20 years. 

Americans should recognize that canceling student loans is not in the best interest of the majority of the country who will be required to pick up the check for this $300 billion-plus action. Primarily benefitting upper-middle and high-income earners, student debt cancellation should be rejected for what it is: a regressive policy that benefits a select few, continuing the Biden administration’s reckless spending spree, which continues at our expense. 

Kat Cammack is the youngest Republican woman in Congress and the U.S. Representative for Florida’s Third Congressional District. She serves on the House Agriculture and Homeland Security Committees and the Select Committee on the Economy.