A new online petition with half a million signatures urges President Trump to cancel the student loan debt held by the federal government.
The federal government roughly holds 85% of all student loan debt. (Fox Business)
Alan Collinge, the creator of the petition and founder of StudentLoanJustice.org, believes that the order would be the least expensive, and most expedient way to inject trillions into the economy, which continues to be slammed by the coronavirus pandemic.
“If you’re talking about fiscal stimulus, this is the lowest hanging fruit on the tree, and there’s no better opportunity for the president to stand up to big government and drain the swamp,” Collinge told FOX Business.
The petition notes that there are 55 million borrowers and co-signers struggling under $1.8 trillion in debt, with over $100 billion in interest alone being sucked out of the economy every year. In addition, former Chief Operating Officer for the Office of Federal Student Aid, Wayne Johnson, told Fox News’ Tucker Carlson in November 2019 that 80% of all borrowers will never be able to pay back their loans.
Analysts from the Levy Institute have predicted that canceling student loans could increase GDP by an average of $86 billion to $108 billion per year, but Collinge said that the benefit of student debt cancellation would be even greater than that.