For context, I’m really referring to central banks. What would the consequences be if the central banks just decided to forgive entities that issue student loans, like FAFSA? I’m asking on a global scale and an individual household scale.
Thank you!
In: 13
Central bank do not own those loans so it doesn’t affect it. If they were to buy those loans and forgive it would be no different than quantitative easing.
We do not do so because of the culturally ingrained idea that debt has to be repaid, the perpetual discontent among future college indebted students who will not benefit from this and the cultural/political refusal to publicly fund affordable college, european style.
Latest Answers