Reply #4: What about the fact this plan does nothing to address the fact that [View All]

[AP]

students are hugely in debt alread, and this plan merely guarantees that banks get their money, and makes the taxpayers reimburse students for their loans.

Furthermore, you have to have an income to get this benefit, so lots of indebted recent grads are going to accept lower paying jobs to get the tax break rather than file for unemployment (which loses the break). Employers will adjust salaries downward knowing that students will calculate in the value of the tax credit. Ie, taxpayers will be subsidizing low wage jobs, which helps employers increase their profits.