solutions

‘We don’t need these blunt solutions’

The coronavirus pandemic and accompanying financial crisis is putting particular pressure on the finances of student loan borrowers and on Congress to do something about a “broken” system.

Democrats have recently proposed mass debt cancellation ranging from $10,000 to $30,000 to help borrowers, while most Republicans and some experts argue that a broad student loan forgiveness is not the right approach.

About 44 million borrowers across the country hold more than $1.6 trillion in student loan debt.

“Most of it is actually pretty good debt,” Jason Delisle at the American Enterprise Institute told Yahoo Finance’s YFi PM (video above). “People have the means to pay, they are paying … somewhere around 40 to 50% of the outstanding debt … paid for graduate degrees.”

(Graphic: David Foster)

A Center for American Progress study from January stated that graduate programs enroll only 15% of all students in higher education, while they

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