Modbert
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- Sep 2, 2008
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Debt Crisis Deepens as Eric Cantor, GOP Propose New Cuts - The Daily Beast
In his quest to save the rich from making sacrifices whatsoever, Cantor is now scraping the bottom of the barrel.
The problem with Cantor's idea to have Students pay the interest right away instead of deferring to graduation is the fact that students won't be able to pay for it.
A.) There's no jobs for said students currently.
B.) If students had the money to pay off the interest on these loans, they wouldn't be borrowing money from the government in the first place.
C.) It's not as if the students are getting free money. They eventually have to pay back said interest and loan payments. And guess what? Unlike the majority other forms of debt, they can't discharge it by declaring for bankruptcy. I wonder if Cantor realizes what this will do to the economy, I doubt he even cares.
D.) This is only going to save $4 billion a year. They already cut the grants that Students receive. Meanwhile, Cantor won't even touch the defense budget among other things including closing tax loopholes.
I don't see how anyone can take Cantor seriously, he has shown that he doesn't actually care about cutting our deficit.
Edit:
Also, for all the "deficit hawks":
E.) It's a gimmicky accounting trick.
As Monday’s White House budget talks got down to the nitty-gritty, Eric Cantor proposed a series of spending cuts, one of them aimed squarely at college students.
The House majority leader, who did most of the talking for the Republican side, said those taking out student loans should start paying interest right away, rather than being able to defer payments until after graduation. It is a big-ticket item that would save $40 billion over 10 years.
At one point, sources say, President Obama pushed back against the mounting menu of spending cuts while the tax column on the negotiating sheets remained blank. He asked the Republican leaders how they expected him to take their proposals seriously.
“I’m not going to do that,” Obama said. “I’m not going to take money from old people and screw students,”
Republicans are resisting not just tax increases but significant cuts in defense spending, the sources say.
Obama returned to this theme in the talks, saying everyone is being asked to sacrifice except rich people. The Republicans repeated their belief that any tax increase would damage the fragile economy.
In his quest to save the rich from making sacrifices whatsoever, Cantor is now scraping the bottom of the barrel.
The problem with Cantor's idea to have Students pay the interest right away instead of deferring to graduation is the fact that students won't be able to pay for it.
A.) There's no jobs for said students currently.
B.) If students had the money to pay off the interest on these loans, they wouldn't be borrowing money from the government in the first place.
C.) It's not as if the students are getting free money. They eventually have to pay back said interest and loan payments. And guess what? Unlike the majority other forms of debt, they can't discharge it by declaring for bankruptcy. I wonder if Cantor realizes what this will do to the economy, I doubt he even cares.
D.) This is only going to save $4 billion a year. They already cut the grants that Students receive. Meanwhile, Cantor won't even touch the defense budget among other things including closing tax loopholes.
I don't see how anyone can take Cantor seriously, he has shown that he doesn't actually care about cutting our deficit.
Edit:
Also, for all the "deficit hawks":
E.) It's a gimmicky accounting trick.