Both of Rhode Island’s senators will be here in the Ocean State today and advocating for bills that would benefit the middle class. Sen. Sheldon Whitehouse, as we reported on Saturday, will be in Cranston for a roundtable discussion on his Buffett Rule bill. And Sen. Jack Reed will be at URI, with school president David Dooley to talk about his bill that would prevent the interest rate on some student loans from doubling in July.
“It is in our national interest to try and keep student loan rates low,” said Reed in a statement about his bill that would prevent the interest rate on Stafford loans from doubling. “As the price of college continues to increase, more students are forced to take out bigger loans to pay for their education.”
Reed’s office said the interest rate on Stafford Loans is slated to double in July, from 3.4 to 6.8 percent. According to the release, 7.8 million low- and middle-income students across the country utilize Stafford loans, 36,000 of whom are from Rhode Island. There are 8,000 URI students who utilize Staford loans.
Sen. Whitehouse will be at the Comprehensive Community Action Program’s headquarters (311 Doric Ave, Cranston) to discuss his Buffett Rule bill that would, according to his staff, “ensure that multi-million-dollar earners pay at least a 30 percent effective tax rate.”
The premise of this post is false. Advocating for increased taxation on the rich, is not advocating for the middle class. Advocating for low interest rates on student loans effects a broad spectrum and therefore not just the middle class. It’s no different than raising taxes on just the rich and calling it equitable taxation but you do that too.
It has been amply demonstrated by economists that government-provided low-interest student loans are what is driving up the cost of higher education in the first place. Stafford Loans are just another failed progressive program that have harmed those they were intended to help.
“It is in our national interest to try and keep student loan rates low”
Is he serious? Didn’t Reed see what happened to the housing market when the Fed kept interest rates artificially low?
“ensure that multi-million-dollar earners pay at least a 30 percent effective tax rate”
But it won’t do that, and I’m guessing Whitehouse is smart enough to know that, so in reality he’s trumpeting this nonsense to try to drum up support for his campaign.