Sen. Elizabeth Warren, D-Mass, addresses an overflow crowd outside an organizing event at McCoy's Bar Patio and Grill in Council Bluffs, Iowa, Friday, Jan. 4, 2019. Biden is going as middle-of-the-road as possible. Higher incomes would also be entitled to massive debt reductions, with only those earning over $250,000 would get no student debt cancellation.
Democrat Elizabeth Warren is proposing the elimination of existing student loan debt for millions of Americans, part of a sweeping set of education funding proposals announced as she and other presidential candidates seek to differentiate themselves in a sprawling field.
Under the plan, households with income under $100,000 would see student loan debts cancelled up to $50,000.
The Warren plan would cancel some of the student debt for more than 95% of borrowers and wipe out the student debt for more than 75% of borrowers, according to the campaign. Kirsten Gillibrand, another presidential contender, all signed on as co-sponsors of Sanders' 2017 College for All Act, which would have allocated $47 billion annually to states to cover two-thirds of the tuition obligation, leaving states responsible for the rest.
"College shouldn't just be a privilege for those who can afford to take on the significant expenses associated with higher education", she wrote. It also asks states to partner with the federal government to make public two and four-year universities completely tuition-free. But he has called for expanding Pell grants and incentivizing states to invest more money in higher education.
The amount young people owe hit a record $1 trillion a year ago, the highest debt exposure since immediately before the financial crisis. Because that way, they don't have to admit that the game is rigged in their favor.
"We got into this crisis because state governments and the federal government decided that instead of treating higher education like our public school system-free and accessible to all Americans-they'd rather cut taxes for billionaires and giant corporations and offload the cost of higher education onto students and their families".
Warren said for-profit college lure students in with false promises that result in student debt, yet they are still funded by taxpayer dollars. Because the opportunities and successes of previous generations have never been distributed evenly.
Warren said the cost of the program would be covered by some of the $2.75 trillion in revenue that would be raised from the "wealth tax" she has proposed - a 2 percent tax on Americans with assets worth more than $50 million, with an additional 1 percent surcharge on wealth over $1 billion. Warren's plan would aim to significantly close race-based wealth gaps.
On the stump, Ms. Warren recounts how education lifted her from being a janitor's daughter in Oklahoma to become a teacher, law professor and senator. She has called for the House to begin impeachment proceedings for Donald Trump while other 2020 candidates have remained largely silent on the issue. Her CNN town hall event Monday night will be centered on policy, while a number of other candidates have yet to attach any specific policies to their campaign, opting more for broad strokes of a general set of values.
Warren is unapologetic about her heavy focus on policy. Hopefully, this ambitious proposal gives her a well-deserved boost.