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Tags: buddy carter | student loan forgiveness | joe biden | higher education

Rep. Carter to Newsmax: Biden's Debt-Reduction Plan a 'Gift to the Wealthy'

(Newsmax/"American Agenda")

By    |   Thursday, 25 August 2022 04:28 PM EDT

Just a few days ago, according to Rep. Buddy Carter, R-Ga., 87% of American taxpayers didn't have student debt.

"But guess what? They do now, thanks to [President] Joe Biden and the Democrats," Carter told Newsmax Thursday afternoon, while appearing on "American Agenda" with hosts Bob Sellers and Katrina Szish. 

The Georgia congressman's offering initially comes across as glib humor. But upon further reflection, the Biden administration's executive order to forgive student debt (up to $10,000 for those making less than $125,000, or $250,000 for married couples) and Pell Grant debt (a possible $20,000 reduction) reeks of wealth distribution, says Carter.

"This is a gift to the wealthy, and I don't get it at all. It makes no sense, it's unfair ... it's just awful, awful policy," says Carter, while adding that his Democratic colleagues in the House privately "understand this is not the way" to handle the sagging American economy.

Based on estimates from the Penn Wharton Budget Model, Biden's debt forgiveness plan — which still requires passage in the House and Senate chambers — will cost anywhere between $330-$500 billion.

And according to TaxFoundation.org, the distribution of these benefits is "skewed to the high-end, with about 70% of debt relief accruing to borrowers in the top 60% of the income distribution."

Citing the above figures in his Newsmax interview, Carter then lamented the future ramifications of Biden's executive order, claiming that young people will no longer be obliged to learn valuable lessons on fiscal responsibility. 

"[Automatic loan forgiveness] is not the message we need to be teaching our young people," says Carter, who's up for reelection in November. "What about [college] scholarships, either athletic or academic? What do you need a scholarship for? None of that matters, if you're going to borrow money, and it's going to be forgiven."

The last comment prompted Newsmax to air a Thursday clip of White House press secretary Karine Jean-Pierre seemingly having difficulty answering a basic question about the debt-forgiveness plan, in terms of who will end up paying for the forgiven $330 billion.

Carter tersely replied, "Again, [Democrats] just don't get it. They don't understand [economics]. ... This is punishing the least of those who deserve" financial benefits.

"There is a difference between free and taxpayer money, and this is taxpayer money we're talking about," he said, while adding that President Biden is merely "buying" votes for the November midterm elections. 

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Just a few days ago, according to Rep. Buddy Carter, R-Ga., 87% of American taxpayers didn't have student debt.
buddy carter, student loan forgiveness, joe biden, higher education
446
2022-28-25
Thursday, 25 August 2022 04:28 PM
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