The Student Loan Battle Heats Up…

Posted By on April 29, 2012

Message to students…Hello down there, hang on and don’t worry about a thing… we’re here to help!  Not!

There was a big fight in D.C. this past week over student loans.

            by Bruce Krasting

The issue is a scheduled increase in interest on new student loans from 3.4% to 6.4% set for July 1. Clearly this is a dumb plan. I don’t see any political opposition to the idea that the summer of 2012 is a horrible time to double the cost of student loans. It will shock no one that the ‘solutions’ being put forward by the politicos are the same ones they propose for every other problem.

The House Republicans have put forward a Bill to extend the 3.4% rate for a year. The cost (increased deficit) of the twelve month extension is $6B. The Republicans want to offset the $6B with (surprise) $12B in reduced spending for the Affordable Care-Act. The Republicans love to trade marbles for reduced Obamacare. They want a 2-1 reduction in medical spending versus education costs. Maybe the “Reds” have the chips to push this outcome. They might settle for a 1-1 deal, but the White House will hate this outcome.

The Senate Democrats want to raise taxes on those making over $250K to offset the cost of the one-year deferral. Their argument is similar to the Buffett tax plan they tried a few weeks ago. Lacking support, it was so clear it wouldn’t pass that it was never voted on. I would give the Senate legislation on student loans a zero chance in the House. It is D.O.A.

There will be the same ideological pissing match and the same result. We will get a one-year extension “paid” for with “promised” reductions in expenses starting in 2017. Another kick of the can, and another big problem in 2013.

This is what happens over a crummy $6B. On January 1, 2013, there are cutbacks and higher taxes totaling $500B scheduled. The coming “Tax Armageddon” is supposed to be resolved in a lame duck session of Congress after the November election. There is a “zero” chance of that working out.

www.zerohedge.com

About the author

Comments

13 Responses to “The Student Loan Battle Heats Up…”

  1. Sausalito Ferry Schedule

    Every weekend i used to go to see this web site, because i want enjoyment, since this this site conations genuinely pleasant funny stuff too.|

  2. peruvian virgin hair

    Hence…I lastly caved with & bought a set and three regarding peruvian virgin hair. I currently have the following design and style found in Grey-I enjoy it & by using any fashionth & toughness, nonetheless its in fact restricting/stiff…I know Reall…

  3. buy viagra online

    An fascinating dialogue is worth comment. I believe that you must write extra on this topic, it may not be a taboo subject however typically persons are not enough to talk on such topics. To the next. Cheers

  4. maglie calcio poco prezzo

    Really such a helpful website.

  5. maglie calcio a poco prezzo

    I like this site – its so usefull and helpfull. sites:ggglese.com

  6. fotbollströjor

    feow37jp yjlh7d fotbollströjor barn m2xya5pzg 780lwbj3sc\n no0r91 vlidwc Billige Fodboldtrøjer 5p9h2zmu 01lyxgef34\n 7wxho8fte 3n2odhmxrg fußballtrikots Günstige 1fcgx396 3ula7wfgd\n

  7. maglie calcio bambino

    \n \n fußballtrikots kinder \n \n \n \n \n Billige Fodboldtrøjer \n \n \n \n \n maglie calcio bambino \n \n \n

  8. juventus trøje

    \n \n fußballtrikots \n \n \n \n \n fotballdrakter \n \n \n \n \n fotbollströjor \n \n \n

  9. liverpool tröja barn

    \n \n billige fotballdrakter \n \n \n \n \n billige fotballdrakter \n \n \n \n \n fotballdrakter barn \n \n \n

  10. maglia bayer leverkusen

    \n \n maglie calcio bambino \n \n \n \n \n maglie calcio a poco prezzo \n \n \n \n \n billige fotballdrakter \n \n \n

  11. fodboldtrøjer børn

    \n \n maglie calcio \n \n \n \n \n fotbollströjor barn \n \n \n \n \n fotballdrakter barn \n \n \n

  12. billige fodboldtrøjer

    \n \n billige fotballdrakter \n \n \n \n \n fußballtrikot kinder \n \n \n \n \n fussball trikot \n \n \n

  13. fotballdrakter

    \n \n billiga fotbollströjor \n \n \n \n \n billige fotballdrakter \n \n \n \n \n fotbollströjor barn \n \n \n

Leave a Reply

You must be logged in to post a comment.

Copyright © 2024 The Stated Truth