he is not paying people $10k!! he is getting the debt written off by the banks
he might as well be paying people 10k in cash because it has the same affect.
also the students dont get the cancellation upfront. they have to make 120 months(10 years) of payments.. and then have the remainder wrote off
learn FORGIVENESS
wrong. now that everyone knows student loans are unenforceable and the government really doesn't require them to be repaid, no one is going to worry about making their payments on time. if at all.
what you need to learn is that the government does not give students new cash to pay off debt. it just tells students they dont need to pay the loan company. thus detaches the students obligation to the bank..
oh ok well i'll just tell my friend that he doesn't need to pay his mortgage anymore and that will detach him from the obligation to pay to the bank.
what you need to then realise is because the loan is THEN only between the government and the bank it temporarily sits as a liability on government books. however then the government does a deal with the bank for the bank to not claim against the government. so it appears as a rise of ~$500b (multi year liability compressed into a 1 year liability line on the books)
i don't know about that franky. they paid out cold hard cash so students could pay tuition, rent, food,etc and now you're telling me that cold hard cash was just imaginary? well then who did it come from?
because the banks due to other QE stuff owe the government. thus they cancel out their deal later. thus no money changes hands in all three parties. they are just wrote off at different times
the banks don't owe the government this student loan money though. the students do. nice try though. i almost believed you there...
ever since the 1700's the value of the dollar has been on a decline.. its not just happened since 2020, its been happening all the time even before your great great great great grandad was born
well, i'm not sure franky. maybe since we went off the gold standard the us dollar has been on a decline and we can understand why. but before that, i'm not sure what contributed to the decline. maybe you know.