‘Hold On, Hold On!’ Biden Economic Adviser Throws Down with Martha MacCallum Over Debt Relief
White House economic adviser Jared Bernstein tussled with Fox News anchor Martha MacCallum over the administration’s plan to provide student debt relief.
Last week, President Joe Biden announced he is canceling up to $10,000 in student loan debt for borrowers making less than $125,000 a year. Those debt holders with Pell grants are eligible for up to $20,000 in relief. The measure has been met with scorn by conservatives and even some Democrats.
Bernstein appeared on Monday’s edition of The Story on Fox News, where he defended the policy during a nine-minute interview.
MacCallum cited a University of Pennsylvania report suggesting Biden’s plan could cost more than $1 trillion. Bernstein disputed the figure and stated the cost will be closer to $350 billion. The two then got into a lengthy back and forth about how debt relief will be paid for:
MACCALLUM: So let’s say I have $15,000 in credit card debt that I can’t cover with my income. That’s my deficit. So I’ve got $15,000 that I can’t cover. So if someone gives me $5,000 and so now my debt is $10,000, I didn’t just make $5,000. I don’t have $5,000 extra. I’m still dealing in a deficit. So how is that something can I use that to pay for furniture for my house? I can’t. That’s not money I have now.
BERNSTEIN: So the way to think about this is that the government is taking in way more in both receipts and spending way less than we have been in prior years.
MACCALLUM: But it’s still a huge deficit.
BERNSTEIN: The deficit remains a negative. No question.
MACCALLUM: We still spend more than we have. So if I save more of that money, that’s not an income. That’s not a windfall. I don’t have that money.
BERNSTEIN: The question on the table, I think you’re making this way too confusing.
MACCALLUM: I don’t think so.
BERNSTEIN: Then let me suggest how you’re doing so. The question on the table is, is it accurate to say that we’re reducing the deficit more than the cost of student loan forgiveness? And the answer is unquestionably yes. Ok? I hope that’s pretty straightforward.
MACCALLUM: Well, you’re saying people can look at numbers a lot of different ways and the Penn/Wharton model–
BERNSTEIN: Hold on, hold on! I’m not going to let you do the thing where you recast what I said totally differently.
MACCALLUM: Ok.
BERNSTEIN: What I’m saying is very straightforward. We are reducing the budget deficit, both in this year and last year, far more, multiples more than the cost of student debt forgiveness. Very simple, very straightforward fact. So I just wanna to make sure that is on the record.
Later in the interview, Bernstein said he takes issue with negative responses from people who are acting surprised at Biden’s student debt policy.
“He said he was going to administer this debt relief,” Bernstein said, noting that Biden campaigned for president on it. “I think it’s just another promise made, promise kept. And anyone who’s feigning surprise over this hasn’t been paying attention.”
Watch above via Fox News.
