A new report from CNN indicates that President Joe Biden is currently deciding whether or not to move forward with a plan to cancel a significant portion of student loan debt for federal borrowers.
The outlet reports:
Top White House aides have drafted the order for canceling some student loan debt, but they’re still waiting for President Joe Biden to make up his mind on whether to go forward with it.
This raises two big questions: what’s in the order and what will Biden decide.
What’s in the order?
Reports do not indicate what is in the order that CNN says has been drafted by White House aides. But, there appear to be three possibilities.
One possibility is that Biden could cancel as much as $50,000 in federal student loan debt per borrower. Biden, for over a year now, has been pushed in this direction by the likes of Sen. Elizabeth Warren (D-MA) and Senate Majority Leader Charles Schumer (D-NY). Both argue that Biden has the ability to do this through executive action.
Biden, however, has made it clear on several occasions that he is skeptical about this plan. Accordingly, he has been pushing for a different plan that would involve the cancellation of about $10,000 in student loan debt per borrower.
The third possibility, of course, is that Biden can choose an amount that is somewhere in between these numbers. Or, perhaps, Biden won’t cancel any student debt at all.
The problem for Biden, though, is that, no matter what he decides, he is sure to upset some voters.
What will Biden decide?
If Biden does not go for the maximum here, then he is sure to upset those who align with the likes of Warren and Schumer. This may include a large portion of younger voters, whom the Democrats tend to rely on.
On the other hand, Biden has an economic crisis to contend with. Poll after poll has demonstrated that Biden is significantly underwater and that the economic crisis is the number one reason why. For this reason, Biden, in a sense, might be putting the nail in his own coffin should he proceed with the cancellation of a significant amount of student loan debt.
This is likely why Biden is hesitating in making his decision: It’s an election year, and, on this particular issue, there is no good answer for Biden.
CNN simply reports that White House “aides are still expecting that a final decision will take more time.”