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September 18, 2023
Biden’s Latest Student-Loan Plan Is Another Disaster
Late last month, President Biden and his Department of Education announced the launch of the “SAVE” Plan, a reform that expands existing income-driven repayment (IDR) programs to the tune of up to $550 billion. Now, it’s been reported that as many as 4 million borrowers have signed up for the plan, many of them enrolled automatically. Last week, Senator Bill…
July 31, 2023
Biden’s Under-the-Radar Budget Bomb: A New Student Loan Repayment Plan
The Biden administration hasn’t been shy about spending money, and spending on higher education policy has been no exception. The most obvious channel for (attempted) spending was the illegal plan to cancel $10,000 to $20,000 in student debt for most borrowers that was halted by the Supreme Court. But there’s another plan in the works…
July 13, 2023
Republicans Step Up to Lead on Higher Education Reform
For decades, the political debate on higher education reform could largely be understood in simple terms. Democrats wanted to spend more money on higher education, and Republicans wanted to spend less—mostly within the nation’s preexisting policy infrastructure. In recent years, however, this familiar paradigm has been upended. As Democrats lurch leftward, Republican leaders in both…
August 30, 2022
Biden’s Student Loan Debt Plan is Driven by Politics, Not Economics
On Wednesday, President Biden announced his long-awaited plan to cancel student loans — effectively wiping away up to $10,000 for borrowers with individual income below $125,000 (and couples with joint income below $250,000). The administration’s plan forgives up to $20,000 for Pell Grant recipients under the same income limits. The move, which will cost taxpayers…
August 3, 2020
Replace the Federal Student Loan System with an Income Share Agreement Program
Key Points Read the PDF. Introduction We hear a lot about how student loans are unaffordable for borrowers. That notion was central in the 2020 Democratic primary race, with Sens. Bernie Sanders (I-VT) and Elizabeth Warren (D-MA) proposing to wipe away massive amounts of debt. Student loans—an oft-forgotten policy issue in days past—were addressed in…