Commentary
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I think it’s been amazing to watch the reaction to President Biden’s decision to give away $300 to $500 billion in $10,000 and $20,000 units to people who went to college.
First of all turns out that that’s pretty inflationary. And the average American is so worried about the high price of everything, that anything which adds to inflation is unpopular.
Second, it turns out that there are a lot of college graduates who paid off their loans, and they’re now kind of looking around going, wait a second, I paid off my loans, and I’m gonna pay extra taxes to pay off your loan.
Third, about 70% of American people have never been to a four year college, they may have gone to VO-tech school and they’ve gone to a community college, they may have just graduated from high school and going to work.
So you now have waitresses, and truck drivers and folks who are just everyday hardworking people saying, let me get this straight. I want to have my taxes paid, in order to take care of somebody who went to Harvard, or Princeton, or Stanford.
I think that Joe Biden may have made a huge mistake, because in theory, people will say, Oh, it’s okay. When it comes down do you realize it, if you got already got government money in a Pell Grant, you now can get $20,000 in towards your student loans from the Joe Biden GIFT program for voters.
On the other hand, if you didn’t get a Pell Grant, you only get $10,000. Well, it turns out, there are at least 300 people in the White House who are going to be eligible for 10 to $20,000. So you are going to have to pay taxes. So that $3 million gets transferred to White House staff who already have pretty darn good jobs.
The system is not going to work and he probably doesn’t have the constitutional authority to do this. Presidents can’t just give away a half trillion dollars with a stroke of a pen. That’s why we have a congress to pass money bills. It’s in the Constitution.
And I suspect the Supreme Court is going to throw the whole program out. But it’s fascinating to watch because it isn’t working the way they thought it would
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