10 Points Missed on Student Loan Forgiveness

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loan forgiveness

Student loan forgiveness is a hot topic, and I would like to add to it with another disagreeable thought. Oddly enough, many educated conservatives seem to have split with uneducated Republicans on the topic. Perhaps it has to do with perspective or party politics, but the truth is that there are several perspectives that are often ignored when the topic comes up. A more robust examination will empower everyone.

There is no doubt that the education system is broken and needs to be fixed. I concede to that fact, and you will hear no argument from me on that point. In fact, that is why a great deal of this website is dedicated to the topic of education. However, that does not mean that we should ignore its value or avoid solid solutions when the opportunity presents itself.

If you know anything about astroturfing, and if you think about it, you might be able to recognize that Republicans are probably being manipulated and pushed into a position they probably do not want to be in. I say that because Thomas Jefferson once said, “I sincerely believe with you, that banking establishments are more dangerous than standing armies.” Yet, today, many Republicans are now screaming, “I DEMAND that we continue to enrich the banks with their compounding interest schemes and neglect our children and communities to do it!!” That seems more than counterintuitive. When it comes to student loan forgiveness, the root of the problem is being avoided almost entirely. Perhaps the question we should all be asking is, “Who is behind the manipulation?

Before we can get to that, we have to ask ourselves a question. Do we want to be right, or do we want to be accurate? Just remember that accuracy leads to empowerment. So, do we want more personal power, or do we want to hand power over to the banks? If you want accuracy and power, then you will love this article. If you want partisan nonsense, you might as well just go back to your echo chamber.

Since Joe Biden declared that he would forgive a very small portion of the student loan debt, the ignorance spewed on social media has gone through the roof – on both sides of the aisle. In this article, I want to give you ten super easy concepts that are often missed regarding the student loan forgiveness debate. I will provide a couple of potential solutions as well. By examining the following with an open mind, we might actually be able to identify a bigger problem and come together to find a solution that everyone can live with. You get to decide.

So, here are ten things that many have not considered before taking their stand on student loan forgiveness.

1) Forgiveness is Actually Founder Approved

Did you ever think that you see the day when Democrats would want to tear down statues of Thomas Jefferson but then do exactly what Thomas Jefferson advocated? Conversely, did you ever think you would see the day when Republicans would tout a love for Thomas Jefferson but then reject his instructions and call those instructions stupid? Well, that’s what ignorance can do. Welcome to America.

You may have heard Thomas Jefferson’s quote, “If a nation expects to be ignorant and free, in a state of civilization, it expects what never was and never will be.” Powerful stuff! However, you may not have heard his quote about how to pay for the education that ensures ignorance would not become a problem. In 1786, Thomas Jefferson told George Wythe that any “tax which will be paid for [the] purpose [of education] is not more than the thousandth part of what will be paid to kings, priests and nobles who will rise up among us if we leave the people in ignorance.” In other words, choose to be ignorant and be ruled by tyrants, or ensure everyone that wants an education gets one because the taxes used to pay for education will be significantly cheaper than the cost of tyranny and ignorance. That is interesting.

This was something he truly believed in. In fact, he would go on to clarify this by telling Peter Carr in 1814 that “It is highly interesting to our country, and it is the duty of its functionaries, to provide that every citizen in it should receive an education proportioned to the condition and pursuits of his life.” He is saying that we should provide whatever education an individual desires because it benefits our country as a whole. Perhaps that is why he opened the University of Virginia – his “last act of usefulness.” Yet, we live in a country now where tyrants educate their own, and those who pretend to love freedom are actively discouraging adherence to Thomas Jefferson’s wishes and reasoning while also ignoring the logical fallacies staring them in the face. What a strange time to be alive.

2) Opposition to Loan Forgiveness is Probably Hypocritical

Graduates generally receive higher wages. Higher wages are taxed at a higher rate. Therefore, the people who complain most about student loan forgiveness without also complaining about or rejecting the benefits they receive from those higher taxes are being hypocritical.

To clarify, you are directly benefiting from the educated class in a variety of ways and would benefit even more by giving them some breathing room. Now, Libertarians are probably the only political group with a leg to stand on here because they have been somewhat consistent on this topic – in that the benefits are thrust upon them, and they complain about that as well.

3) Graduates Could Probably Pay If They Were Not Being Robbed

If graduates were not being taxed at that higher rate, they might have some extra money to pay for their student loans – due to the higher wages they earn by having a degree. Support for and being the beneficiary of that taxation is robbing them of their ability to pay back their loans. Therefore, referring back to point #2, it’s hypocritical to complain while you receive. Moreover, this scheme encourages a bigger government over your local and state economy. Choose wisely.

4) Do You Want Progress or More Pain?

There is the complaint that perhaps student loan forgiveness is unfair to those who have already paid. Indeed, it might be. Of course, a solution could be arranged for that if we are willing to have that conversation. After all, any solution there would still be cheaper than not doing anything, especially in the long run.

However, that argument alone is one of the dumbest things I have ever heard. That is literally on par with saying something like, “Well, I lived a hard life. My kids should too.” Or, “Income tax may suck the life out of us, but I’m not going to support H.R. 25 because even though it is a much better system, it’s still a tax.” Our goal should always be taking steps towards a better tomorrow – not stone-walling progress because it is not the total solution or because someone got a bad deal.  

5) It Is Not Really a Debt Issue

This debate is actually not a student loan debt issue. It is a bank and interest scheme issue. Student loans are not like a car loan or a signature loan. If they were, we likely wouldn’t be having this conversation. Instead, student loans are, in many ways, worse than a mortgage or credit card. Those who have not been to college simply do not know or understand this because they have not been through it.

Again, the loan would not be an issue if banks were not arranging the loans in a way that generates so much profit and if the government was not allowing them to do it. For example, some people have paid religiously for years and still owe significantly more than they ever borrowed. That should be a massive clue. There are others who took out the loan and owe twice or three times what they ever borrowed due to the interest schemes.

However, there is a simple solution, but it requires all of us (and our reps) to come together. The funny thing is that we do not have to forgive the loan to fix this problem. Instead, we need to cancel the interest schemes and harness the banks. Why is this not a point of discussion? Well, try asking your representatives and then read point number seven on this list.

6) Decisions Versus Expectations

Indeed! The banks are a problem. Of course, I personally believe that banks and the government should not be allowed to profit from the education they coerced our youth into getting. Perhaps that is exactly why they have set things up this way. Just know that there is a big difference between securing the opportunity to go to school and preying and profiting from it.

I want you to consider something. If these impressionable kids have been indoctrinated every day of their lives (by their government-paid teachers) with the idea that a secure life comes from going to college, and parents told their kids to listen to their teachers, then it really was not their decision to go. It was the expectation. You cannot blame someone who does not have a fully developed brain for doing exactly what every teacher and mentor told them to do. At the same time, when everyone turns around and hangs them out to dry when it doesn’t work out, then you should not be shocked by the resentment they have for you for doing so.

Be sure to read to the end to discover how this point will bite Republicans in the ass come election time.

7) Your Representatives Might Be In On It

Why has our government not fixed this massive trillion-dollar issue? After all, these are not hard concepts to understand. Yet, government representatives have made little effort to fix this problem while spending a lot of energy trying to demonize their political opponents. We need to ask ourselves why.

Could it be that these banks donate so much money to their campaigns? Do some research on the banks that service lawmakers’ campaign committees. I can tell you this, banks don’t seem to see this as a partisan issue. They seem to see it as a profit issue. You probably should too.

Meanwhile, our representatives cry foul on college forgiveness but will turn right around and talk about how we need to focus on providing even more funding for our high schools despite teacher and student performance – nudging your thought process away from the bank side of the issue. Is that an accident? In this process, our representatives continue to allow their banking friends to prey on our youth instead of passing legislation that could easily stop the crippling interest schemes from being thrust upon our kids and further damaging our economy. Of course, we could easily pass legislation to fix our broken public education system too, but they don’t. The question is, why? Follow the money.

Similarly (and this cracks me up), why hasn’t your radio talk show host or cable news outlet discussed this? It seems to me that it is either ignorance or personal interest. Either way, be careful to who you lend your ears or support.

8) The “Worthless Degree” Fallacy

There is a lot of talk about worthless degrees being written off or liberal schools benefiting from forgiveness programs. I have even heard things like, “Stop being lazy, get off your butt, and pay it off,” or “Don’t get a useless degree if you don’t want student debt.” Aside from these statements demonstrating that the person saying them knows very little about the topic, statements like these spread dangerous fallacies. I would caution anyone from saying something as stupid as these on social media – or anywhere else. The scary part is that I have heard this from some supposedly intelligent people. Well, let us examine just a couple of examples to demonstrate just how ignorant these statements truly are.

  1. The majority of physicians are struggling to repay their student loan debts (usually exceeding $200k). Do physicians have worthless degrees? Most physicians work somewhere around 40 to 60 hours per week, but nearly one-quarter average somewhere near 80 hours per week. Is that not enough hours?
  2. Surveys find that almost half of MBA graduates have $100,000 or more in student loan debt. Is an MBA a worthless degree? The statistics show that an MBA graduate will work about 54 hours a week on average. Sometimes more. Is that not enough hours?

These are just two of many examples that I could provide. Sure, there are some who have worthless degrees, but that number would be pretty low. In fact, roughly 50% of student loan debt is wrapped up in respected graduate degrees. And by the way, when compared with a 100k+ debt, that tiny $10k in loan forgiveness is not going to do much. The point is that the struggle is not always associated with a worthless degree, and the hours are definitely being put in by those who get degrees. Comparatively, and according to the data, a high school graduate with no college degree will work, on average, somewhere between 34.6 and 40.85 hours a week.

Speaking of which, let’s do another comparison. Of the estimated 59 million Americans receiving welfare during an average month, nearly 90% of them lack a degree. This includes programs such as Temporary Assistance for Needy Families (TANF), Supplemental Nutrition Assistance Programs (SNAP), Supplemental Security Income, Earned Income Tax Credit, Housing Assistance, and Medicaid. On average, these programs cost American taxpayers roughly $1.16 trillion EACH YEAR. In fact, it has been said that since the War on Poverty began, the U.S. has spent over $34 trillion on means-tested welfare.

Well, the TOTAL student loan debt is roughly $1.75 trillion, and the Democrats just tossed a few billion at it. Both are small numbers compared to the totality of the welfare state. Now, if we look at this issue from an investment standpoint, where is our money better served? Well, I contend that an investment in education would benefit taxpayers. Not only are graduates hard workers, but statistically speaking, they are less likely to be criminals or poverty-stricken. Moreover, if we do help them, they will continue to work and pay their taxes over the course of their life. Those who open up a business will be taxed at an even higher rate while also providing products, services, jobs, and tax revenue to your community and state. That is unless we allow the system to push them into poverty, where we will be paying to help them anyway.

It is an interesting decision. We can help out our children once, and they will contribute to society via taxes, services, and economic stimulation their entire lives. Or we can needlessly encourage burnout and poverty and add to the welfare bill every year while simultaneously encouraging education avoidance. Now, I am not the smartest person, but it seems like an easy decision to make.

Very much related is the One-Off Fallacy. We sometimes hear about how this one person did this one thing, so everyone else should or can too. Or better yet, one person from one university got a worthless degree, therefore everyone got a worthless degree as well. By that logic, everyone can be just like Einstein or Michael Jordan at will. Quit it.

And while I’m at it, we really need to stop with the “liberal education” fallacy as well. Let us not forget about the millions of conservative students and the conservative and religious public and private schools in this evaluation. Understand that I know more conservatives that are suffering in silence than I do liberals with worthless degrees. However, these conservatives usually do not speak up about their struggles because they are being bullied by their ignorant counterparts. Instead, they self-silence as a result of this right-wing political nonsense. Understand that there are hundreds of conservative schools with thousands of conservative victims to consider. It’s not just a liberal issue.  

9) Loan Forgiveness Is Actually Economically & Liberty Sound

Economically speaking, those burdened with student loan debt are less likely to open up a business and are more likely to be reserved in their spending. Your community does not want that. Suppose you want to stimulate the economy, create jobs, and create demand. In that case, you must figure out a way to allow these graduates an opportunity to use their education and spend their money in the economy by allowing them the space necessary to open up businesses or buy goods.

Giving graduates some breathing room via loan forgiveness will benefit the economy and the taxpayers because this increased spending creates demand, creates or sustains jobs, increases taxation opportunities, and stands to improve the inflation situation. This should not be that difficult of a concept.

However, even that overly complicates this very simple idea. I want you to think long and hard about the following questions. If graduates are going to spend hundreds of dollars a month for the rest of their lives, would you prefer having those dollars feeding your local economy or feeding some banking conglomerate hundreds of miles away? Specifically, would you rather those dollars go towards the void of compounding interest – which only makes the banks bigger and stronger – or would you rather that money go to businesses and services in your area – which will make your community stronger?

Your choice will be reflected in what you support, but know that you have to reduce one to get the other. The way I see it, we can cut our losses and put an end to the never-ending interest scheme, which will allow us to slow down the growth of the banks, or we can continue to feed the problem to the detriment of our nation. Just know that if we stop feeding the problem, we just might create an opportunity to fix it.

10) Resistance Actually Promotes & Perpetuates Ignorance

This loan forgiveness debate has only perpetuated the false perception that education is not worth it. THINK ABOUT THAT! Have you stopped to consider that perhaps that is exactly what those in power might WANT you and your children to believe?

Consider what Thomas Jefferson said in the first heading or reflect upon the idea that the ignorant are easily led and manipulated. Either way, the more UNeducated people this nation has, the more the government can manipulate the masses. It is truly that simple. Is that what you want?

As Thomas Jefferson told Trench Coxe in 1795, “Light [education] and liberty go together.” Well, if you think about that for just two seconds, it might also dawn upon you that ignorance and tyranny go together as well. Look around. If that was the plan, it seems to be working.

If you want more of this nonsense, then don’t change a thing. Or, let’s consider it from a political perspective. The more educated people “your side” has, the more apt your side is to retain power and enact the things you desire. In other words, conservative kids that are educated in conservative schools will do conservative things. The same is true for the left. And with that in mind, it should not shock you that left is gaining so much power as the right is shying away from education. Welcome to America.

We Need to Think About Loan Forgiveness Long and Hard

Frankly, this should not be a partisan issue. It is our kids, economic health, and collective future at risk. The funny thing is that the division does nothing short of ensuring more government involvement. And you know what? It should mean something that one of our most influential Founders warned us specifically about this very situation and told us exactly what we should be doing about it. Yet, somehow the majority conveniently ignore Thomas Jefferson on this topic. This is unfortunate because I believe that we will get exactly what he warned us about if we continue to ignore him.

Fun Fact: Not long ago, on average, Republicans were the most educated in America. Now, many Republicans consider education a burden. Things sure have changed, and I can’t help but believe that our slide into chaos is correlational. But a question comes to mind, and it makes me wonder. Can you think of other nations throughout history that frowned upon education and made it difficult for their people to receive one? What happened to them?

Bonus Q & A:

The following questions were posed to me on social media, and I would like to answer them here for you.

  1. Why is college so expensive? – I can think of many reasons. For starters, college is not supposed to be a resort or a sporting event. It is supposed to be a place of learning. That is somehow lost on most. Resorts cost a lot of money. Technology costs a lot of money. Stadiums, pools, gyms, luxury living quarters, and huge campuses cost a lot of money. And when you factor in dollar devaluation, it gets really expensive. Of course, we must also understand that every kid is told that they must go to college if they want any hope of a happy life. This perception creates demand, which also increases the price.
  2. Is college worth it at the current price? – It depends on whether you are going for the experience or the knowledge. If knowledge is power, and you are there to gain that power, then probably. If it is the experience and a piece of paper you’re after, then probably not. College is not for everyone – especially those going for the wrong reasons. More time and effort should be given to helping kids understand the point and purpose of education to help rectify this problem. Of course, that might be hard to do because we live in a society that elevates and celebrates the idiots and picks on the nerds. Why do so many not value being smart?
  3. Why should college debt be forgiven as opposed to other forms of debt? – Forgiving your signature loan or credit card doesn’t really benefit your community or generate jobs or economic demand. A graduate benefits your community in a variety of ways. These benefits include the leadership, services, or products they provide in their work, economic stimulation and tax revenue gained from the things they buy with their higher wages, and the potential compounding tax revenue via the job creation from those who open up businesses to utilize their degree. For those who get a job working for an existing company, there is the benefit of the higher taxes paid on the higher wages earned – again, money that the educated could have probably used to pay off the loans that people are upset about. Refer back to point #8 for clarity on this.
  4. Wouldn’t loan forgiveness add to inflation? – It might at first, but it is highly unlikely in the long run. Definitely not any more than the trillions we spend on welfare programs. Of course, this depends on whose numbers you want to believe regarding the actual state of the economy – because the spin can vary. However, even the chief economist of investment bank Goldman Sachs, Jan Hatzius, recently said that student debt cancelation would lower inflation “slightly.” That’s probably accurate. Of course, I think it’s hard for most people to understand the sheer size of the problem and the net benefit of the solution. Either way, this can be rationalized by trying to think about what you would do if you suddenly had breathing room in the budget. Studies have demonstrated that student debtors who have had their debt canceled will usually borrow locally (housing, cars, etc.), and sometimes they will move to other areas of the country to find better-paying jobs. Either way, there is a net benefit for taxpayers. So, the data suggests more positives than negatives at this point. Again, I believe that you’re being distracted and manipulated to hate for unfounded reasons. Granted, I could be missing something, but the pros are surely outweighing the cons at this point.

I should also mention that the government already and repeatedly generates record “revenue” (your money) month after month and that money has not been used to slow down or stop inflation and dollar devaluation. Thank your representatives. However, I am not a fan of the tax argument on this topic because the current tax system is terrible and needs to be changed as well (see: H.R. 25). From what I can tell, the government is in a position where it is forced to spend, and this is a great excuse to do it. You are just being distracted as to why. However, this is one investment that could actually do some good, which is why I am absolutely surprised that the government would go ahead with it. Of course, some argue that it is nothing short of buying votes. This might be true, but it makes you wonder about the timing and the recent IRS buildup. Regardless, I need you to understand that the root of understanding this issue lies in addressing the banks and the interest, and so does the solution.

Don’t get me wrong. I can understand someone rejecting loan forgiveness and continuing to benefit from the educated anyway. After all, receiving free benefits from the labor and efforts of others was a highly successful approach to empire building for thousands of years. Heck, our government wouldn’t exist without it. So, despite it being truly hypocritical and wrong, I get it.

Here’s another point to ponder. Why are so many okay with funding public high schools despite the vast majority of high school graduates being completely unprepared for either college or basic employment (which often results in poverty) – and then these same people are so upset about funding college graduates who are more likely to make a positive impact on their local economy? Does that not scare you? Does this not sound like the result of massive manipulation? It seems to me that the investment in helping those who have received a college education might have a chance to save us from the fallout of public education. I also believe that perhaps that is a component of the manipulation that people are subjected to. Just a thought… albeit a scary one.

Now, the choice seems obvious, but the system needs a reset either way. If we don’t fix this, it’s just going to get worse, and that welfare tally is only going to get much bigger in the coming years. If forgiveness is not on the table, that’s fine. But can we at least unite to simplify or reduce the interest portion of the debt and then stop telling our kids that education is not worth it? We would all benefit tremendously from giving this Republic a fighting chance. I have written on this topic before. If you would like to continue reading, click here. Now, let me get to my bigger points.

Scary Facts

According to the research, under 40 percent of high school graduates score at college and career-ready levels on the NAEP. Specifically, only 37 percent of students are prepared for college-level academics or on-the-job training in a position requiring only a high school diploma. That is why most high school graduates have to take remedial courses when entering college – so they can catch up. This fact is rather scary when you consider that the graduation rate is somewhere around 80 percent.

I have a feeling that things are about to get worse because according to the National Center for Education Statistics, a branch of the U.S. Education Department, this year (2022), reading scores for 9-year-olds saw their largest decrease in 30 years. Math scores saw their first decrease in the history of testing. How do you think that will turn out?

There is a trend to consider. Now, you can blame the pandemic or whatever else you want, but the fact remains. This is not a new problem. News articles have been discussing this decline for at least a couple of decades. Now, if our kids are not going to learn what they need to learn in their liberal high school, where are they going to learn it? The parents who were victims of the same system? Of course, you could send them to a conservative college – but, according to many Republicans, college is not worth it, so why bother? However, at least college gives students a chance to catch up. I don’t know about you, but that seems like a wise investment to me, especially since nobody seems interested in fixing the high school problem.

And if you are worried that universities are just socialist havens that are hell-bent on indoctrinating your children into the communist way of life, then understand that you are a victim of astroturfing. First of all, and as I have demonstrated, you should probably be more worried about the high school you’ve sent those kids to. Second, there are hundreds of conservative colleges, both public and private. A few examples might be Brigham Young University, Cedarville University, Liberty University, Colorado Christian University, Utah State University, Biola University, University of Wyoming, Samford University, University of Tennessee—Martin, Taylor University, University of Dallas, University of Scranton, Southwestern College, Friends University, University of the Cumberlands, University of Mississippi, Texas A&M University, Auburn University, University of Arkansas, Idaho State University, Western New Mexico University, Missouri University of Science & Technology, The University of Alabama, Oral Roberts University, Hillsdale College, Oklahoma State University, Brigham Young University, and so on. Again, these are just a few examples of the hundreds of conservative institutions that bring in thousands of conservative students – all subject to the same nasty schemes we’ve already discussed.

Perhaps the Biggest Point to Ponder

With all that being said, I want you to imagine now that you are a conservative student or graduate who understands the preceding. How hard is it going to be to vote for the party that has been bad-mouthing you for the “decision” to acquire some debt to become educated – especially since that same party has done so little to fix the public education system? How hard is it going to be to bring yourself to vote for the party that ignores the Founders, repeatedly calls you a lazy deadbeat and says that the degree you worked so hard for is “worthless?” How hard is it going to be to vote for the party that refuses to take steps to stop the banks from wrecking lives and futures while simultaneously taking money from the banks for their campaigns?

I am definitely not a political strategist, but I am guessing it would be rather difficult for most educated conservatives to cast that vote. I personally do not see much of a difference between a Democrat and a Republican. They are both responsible for the expansion of government, a reduction in liberty, and manipulation. And when it comes to education, they have both failed our children and rarely ever address or fix an actual problem. Of course, Gallup sounded that alarm back in April of 2021, and NBC news ran the story with a headline saying that the “GOP faces massive realignment as it sheds college-educated voters.” It is not hard to imagine why, but think about what that leaves. If they keep it up, they will become known as the party of the ignorant.

The good news is that conservatives will remain conservative. The bad news for Republicans is that conservatives do not have to continue voting Republican. If you want to know why young conservatives are beginning to avoid the Republican party, you might want to start by looking right here. The truth is that conservatives have conservative options outside of the Republican party. And frankly, it should not shock anyone when the Republicans no longer receive the votes from the people that they have been belittling.

If you are an educated conservative and concede to these points, just know that you are not alone. If you are a conservative student and are considering college, know that you have plenty of conservative options. And, if you are a parent of a conservative kid and are unsure of what you should do, then let me leave you with a quote from Dr. Michael Coulter. He said, “It’s easy to criticize colleges for liberal activism, and campus activism can certainly be outrageous. Nonetheless, many individuals and society as a whole will be worse off if conservatives walk away from higher education.” I completely agree and would encourage you to read the rest of his article by CLICKING HERE.

Best of luck to us all.

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