Why Can't Student Loans Be Cancelled?

The video discusses the growing issue of student loan debt in the U.S., highlighting its rapid increase compared to the nation's economy. It covers the impact of the COVID-19 pandemic on loan repayments and the political debate surrounding loan forgiveness. Proponents argue that canceling student loans could stimulate the economy and reduce inequality, while opponents raise concerns about fairness and economic implications. The video also touches on the legal challenges of implementing loan forgiveness and the potential costs involved.

What is the current total amount of student loan debt in the United States?

• $3.0 trillion

• $2.5 trillion

• $1.7 trillion

• $1.2 trillion

What promise did President Biden make regarding student loan debt during his campaign?

• To reduce interest rates on student loans

• To increase funding for higher education

• To eliminate all student loan debt

• To forgive $10,000 of student loan debt per borrower

How might canceling student loans stimulate the economy according to supporters?

• By reducing inflation

• By decreasing the national debt

• By increasing government revenue

• By providing borrowers with extra money to spend or invest

What is one argument opponents use against student loan forgiveness?

• It would not address the root cause of high education costs

• It would lead to higher taxes for everyone

• It would benefit only a small portion of the population

• It would increase the cost of college

What is the estimated cost of canceling up to $10,000 of student loans per borrower?

• $100 billion

• $400 billion

• $300 billion

• $200 billion