Rep. Alexandria Ocasio-Cortez re-enforced her ambitions to cancel billions in student loans with a warning that it “all comes down to public pressure,” according to Fox Business.
AOC said that progressives need to keep pressing the Biden administration further to the left and push Biden to use his authority to fully forgive student loan debt for individual borrowers.
Biden said it was “unlikely” that he would be able to do so.
“The Biden admin NEEDS to be pushed,” Ocasio-Cortez said.
“They have said they’re comfortable with $10K in forgiveness but we NEED at least $50K minimum and there is support for 50K.”
“We cannot take no for an answer,” she said. “This will all come down to public pressure. We have a window to ORGANIZE and rally for your public officials to demand forgiveness.”
“Canceling student loan debt is the single most effective executive action that President Biden can take to kickstart this economy,” Elizabeth Warren said.
From Fox Business:
Biden has called for forgiving $10,000 in student loan debt as part of a broader coronavirus relief effort, and extended a freeze on student loan payments through Sept. 30, 2021 immediately upon entering office, benefiting about 41 million Americans — but Ocasio-Cortez said the president needs to go further.
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Still, canceling student loan debt may disproportionately benefit wealthy Americans: A recent working paper published by the University of Chicago’s Becker Friedman Institute for Economics shows that erasing all student loan debt would distribute $192 billion to the top 20% of earners in the U.S., but just $29 billion to the bottom 20% of U.S. households.
Under a universal loan forgiveness program, the average individual among the top-earning borrowers would receive $5,944 in forgiveness, while those with the lowest incomes would receive $1,070 in forgiveness, according to the study, authored by economists Sylvain Catherine and Constantine Yannelis.