Never mind the court case.
Nevermind if the president has the power to ignore congress and just pass any law he wants. (That is the other thread)
What impact will it have on the economy when “suddenly” 4 million people are unable to pay their student loans
- 26 million Americans applied for student loan forgiveness, (CNBC)
- 16 million got approved (CNBC)
- Now, with the economy booming and jobs jobs jobs, more jobs than applicants, 4 million appear to be unable to make payments when those payments resume. (Bloomberg, link below)
Will they suddenly put down their phones and game controllers and seek jobs?
Will they get angry at corporations and the patriarchy for giving them only a 3-year hiatus, (including a booming job market) on repaying a low-interest loan?
More importantly what will this mean for total spending, rent and car payments in the rest of the economy?
From the article
After a three-year pause, payments on federal student loans are set to resume in the next six months, and the economic consequences will be far-reaching: More than 4 million Americans are expected to fall behind on their debt and millions more will struggle with the added costs as inflation slams consumers.
Even those who can handle the bills will have less money to spend elsewhere, with experts predicting more delinquencies on credit cards and auto loans as the impact cascades through the economy.
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$1.8 Trillion Student Loan Crisis Heads for Supreme Court Argument on Biden Plan - Bloomberg
