Yet as CNS News contributor Terence P. Jeffery recently pointed out, Biden has succeeded at substantially growing the national debt despite having no reason to do so.
By the numbers
In a piece published last week, Jefferey pointed to data provided by the U.S. Treasury Department’s “Debt to the Penny” website which tracks the government’s financial liabilities. The numbers paint a startling picture.
Jeffery pointed out that while the total federal debt stood at $27,751,896,236,414.77 on the day Biden took office, it had ballooned to $30,824,380,608,762.88 as of this past Friday.
When President Donald Trump was inaugurated on Jan. 20, 2017, the total federal debt was $19,947,304,555,212.49 and grew by nearly $8 trillion during his four years in office.
Most of that increase came in 2020, which saw the debt explode from $23,171,999,133,830.77 on January 2 to $27,747,797,947,667.77 by New Year’s Eve.
However, whereas Trump’s final year was marked by an unprecedented economic shutdown in response to the COVID pandemic, the economy was already beginning to open back up by the time Biden was sworn in.
Study suggests student loan plan could be far more expensive than previously thought
That hasn’t led to much of a slowdown in spending, though, with the president continuing to push expensive initiatives.
The latest came in the form of a plan which allows those making less than $125,000 per year to offload $10,000 worth of student debt onto taxpayers, a figure that rises to $20,000 for those who received Pell grants.
What’s more, a study put out last week by the University of Pennsylvania’s Wharton School of Business argued that the move will be far more costly than previously anticipated.
“We estimate that President Biden’s proposed student loan debt cancellation alone will cost between $469 billion to $519 billion over the 10-year budget window, depending on whether existing and new students are included,” it stated.
This estimate is predicated on “strict ‘static’ assumptions” regarding the new income-driven repayment (IDR) program, and it went up substantially when researchers accounted for the likelihood that more borrowers will be participating. The authors concluded that the final price tag could exceed $1 trillion over the next decade.