So. Student debt cancellation financially helps EVERYONE. It’s better than trickle down. It’s trickle UP. Here’s why: when you have a demographic that is heavily indebted their extra money goes to debt repayment. That means they’re not able to buy other things.

That actually has a significant effect on the economy. Because rich people? They actually can’t spend all their money. The book The Trouble with Billionaires had a good takedown where they calculated how much a billionaire would have to spend every hour to spend as they earned.

But middle class and lower class folks with student loan debt? When that’s gone that money will likely be used to buy things that will help the economy keep moving. And will allow them to potentially take action on life milestones like moving out of their parents house...

Buying a home, getting married, having children and all those things that require money to be circulated. I wrote about this 6 years ago on Yahoo!Finance. Here is a breakdown of the debt sentence of student Loans and their broader economic impact. https://www.google.com/amp/s/finance.yahoo.com/amphtml/news/millennial-debt-sentence-ever-escape-090048110.html

So it’s great if you paid off your loans already. Yay you. And you’re kind of an asshole if you’re begrudging other people debt relief. But turns out student loan forgiveness WILL LIKELY impact you financially in some way by strengthening the economy.

You shouldn’t need that to make you want other people to suffer less but there it is. Debt cancellation is a WAYYYY Better economic stimulus than tax cuts for the rich. Way better. And it impacts those who don’t have debt because of the consumer spending it unleashes.

Anyways my whole timeline is just takes about student loan debt forgiveness this morning and I didn’t see this take. Which is important! Financial policy is rarely based on FACTS. Its often based on failed ideology that helps cronies. Debt cancellation has economic impacts.