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Home The Blog Elizabeth Warren’s QE for Students: Populist Demagoguery or Economic Breakthrough?

Elizabeth Warren’s QE for Students: Populist Demagoguery or Economic Breakthrough?

Jay Owen June 17, 2013 Reforming Global Finance, Community Development Solutions

 

Posted on June 14, 2013 by Ellen Brown

On July 1, interest rates will double for millions of students – from 3.4% to 6.8% – unless Congress acts; and the legislative fixes on the table are largely just compromises. Only one proposal promises real relief – Sen. Elizabeth Warren’s “Bank on Students Loan Fairness Act.” This bill has been dismissed out of hand as “shameless populist demagoguery” and “a cheap political gimmick,” but is it? Or could Warren’s outside-the-box bill represent the sort of game-changing thinking sorely needed to turn the economy around?

Warren and her co-sponsor John Tierney propose that students be allowed to borrow directly from the government at the same rate that banks get from the Federal Reserve — 0.75 percent

2013banksbreakthrougheconomyelizabeth warrenEllen Brownfairness actfederal reservegameinterest ratesJohn Tierneyjuly 1june 14nbspproposalqe

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