Government should stop making student loans

Paul F. deLespinasse

Government should stop making student loans

President Biden is pondering whether to forgive unmanageable debts owed to the government by students who used them to finance higher education.

It is unclear what Biden should do about these past loans. But it is obvious what needs to be done about the future: the government should discontinue making additional student loans.

Although these loans helped some people, they have greatly damaged many others. They encouraged recipients to dig themselves into financial holes. These unfortunates cannot buy houses or do many other things traditionally done by young adults.

As the saying goes, when people are digging themselves into holes, first they should stop digging.

Biden speaks about student loan forgiveness

The loan programs were well-meant, but in addition to harming many of their “beneficiaries” they have caused an incredible increase in the cost of higher education.

When I was an undergraduate at Willamette University in 1960 the tuition at this excellent private school was $600 a year. There has been a lot of inflation since then, but $600 in 1960 would only be $5,680 in 2022 dollars. Tuition at Willamette today is $43,500.