Kamala Harris Pushes Far-Left Student Loan Forgiveness Policy
Plan shredded by Obama's former top economist
Democrat Kamala Harris has renewed her efforts to push radical socialist policies.
Speaking during an interview on the CBS News show "Face the Nation," Harris called on Democrats to pass policy to forgive student loan debts.
Harris was pushing a policy that is favored by the far-left wing of the Democrats but was also slammed by President Obama's former top economist, who denounced the idea as "highly regressive."
"Congresswoman Alexandria Ocasio-Cortez says it’s delusional for Democrats to think they’re going to win control in 2022 if they don’t do something about the filibuster and student debt,” host Margaret Brennan said to Harris.
“Will we see any movement on student debt in the new year?”
"So, I know that Sec. Cardona, the Secretary of Education, is working on what we can do and must do frankly to relieve the — the pressures of student loan debt, and it’s a real issue,” Harris replied.
"Students across — well graduates and former students across our country are literally making decisions about whether they can have a family, whether they can buy a home," Harris continued.
"And it’s no small matter, and we need to figure out a way to relieve debt.”
When pressed by Brennan on whether it was important to deliver on debt forgiveness for student loans before the midterms, Harris responded, “Well, I think that we have to continue to do what we’re doing and figure out how we can creatively relieve the pressure that students are feeling because of their student loan debt.
"Yes,” she confirmed.
However, Larry Summers, who served as the 71st United States Secretary of the Treasury from 1999 to 2001 and as the 8th Director of the National Economic Council from 2009 to 2010, pushed back on student debt relief in a series of tweets on Friday.
"Judged purely in terms of economic impacts, the Administration’s decision to extend student loan moratorium is highly problematic,” Summer wrote.
"At a time when unemployment is unusually low and household balance sheets are very strong for all income quintiles, there is no special case for across the board relief now, unlike when it was put in place two years ago,” Summers said.
"The Admin understood this when it made clear the last round of temporary debt relief would be the final one & not be extended.
"How much things have changed since the onset of Covid when it was completely explicit that student loan relief would sunset after the previous extension.”
"The student debt relief is highly regressive as higher-income families are more likely to borrow and to borrow more than lower-income families," Summers added.
"Adults with student loans have much higher lifetime incomes than those without.”
“Relief also promotes spending in the near term when the economy is clearly supply-constrained thereby contributing to inflation pressures,” Summers later added.