EL PASO, Texas (KTSM) — Biden’s administration is expected to make a decision on broad student debt cancellation by a self-imposed deadline of August 31.
The president has reiterated that if he used his authority for loan forgiveness it would not be for more than $10,000 per person.
Nathan Ashby, an economics professor at UTEP, explained that the economy is not equipped for completely erasing student debt, but a couple of students say they would be grateful for the partial relief.
According to Dr. Ashby, if student debt was completely erased for students for those who have either graduated or left college, he predicts that inflation will continue to grow or get worse in the economy.
“The economy is very tight then all of a sudden as good as it may be for some individuals, inevitably that’s just going to put more pressure on prices and how that effects the rest of the economy could lead to a recession.”
For one UTEP student, Heavyn Robertson, the possibility of having almost $10,000 forgiven would be helpful, but that it should be more to help the student even more.
“I don’t think $10.000 is necessarily enough, but I think it would help a lot of people at least for even that amount so they don’t have anything else to worry about.”
International student, Keioa Plascencia says while she has not taken out student loans, she believes that amount is more than enough to help the average student at least at UTEP due to the cost of tuition.
“I believe it would because personally I know how much the tuition costs and for example this semester, I’m going to pay about $6,000 so I believe for them it would be very helpful because that’s almost one whole year of tuition without having to actually pay it back to someone.”