(2022-08-25) Solana Debt Babies

Mike Solana: Debt Babies. Abolish the institution of federal student loans.

Many lower-tier colleges, incapable of competing in an environment of greater consumer scrutiny (will you help me get a job yes / no?), will probably close. We love this. Many young people will simply opt out of college. This is more great news.

That we aren’t pursuing the strategy likely has a lot to do with a cultural obsession with college, which, in a godless age, has clearly supplanted the church

Remove all legal barriers to discharging student loan debt in bankruptcy.

Yesterday, President Joe Biden waved his magic wand, and “erased” $10,000 of federal student loan debt for every borrower making less than $125,000 a year. At least, this is what he promised (it’s still not clear how this is legal).

Incredibly, actually solving the crisis was not a topic of discussion. My suggestion is we solve the crisis.

Millennials were raised on stories from their Boomer parents who ‘worked their way through college,’

Things, they told their children, while obviously different, were not fundamentally different. This was laughably untrue.

Much of the debt crisis is an invention of our government (surprise), which both monopolized lending, and banned discharging student debt in bankruptcy (!!!).

it changes nothing. A year from now, insurmountable student debt will be inked back onto the federal ledger

Here’s how we fix the student debt crisis in three easy steps:

Make repayment of all student loans (assumed to the current year only) 100% tax deductible