In Biden’s America, we all do.

Biden didn’t mention cost, nor did his economists, but outsiders Thursday pegged the price of this gift to 30 million borrowers at about $85 billion for the new parts of the scheme, or about $560 billion if you include previously announced plans. For scale, that’s about what the government spent on Medicaid this year.

 

This money isn’t imaginary. Repayment is expected by the federal government, the sum budgeted as incoming money to offset planned spending. To the extent it doesn’t show up, it can’t offset anything. The government, where spending already outran income by more than $1,064 billion in just the past six months, will add it to the $34,581 billion it already owes — that’s about $103,000 for every woman, man and babe in arms.

 

That will be paid, somehow and someday, much of it by the other 300 million Americans who aren’t blessed by Biden’s magnanimity. Most of them didn’t go to college, and of those who did, many didn’t borrow or didn’t borrow much. More than a third of students who earned a bachelor’s degree in 2019-20, according to the latest figures from The College Board, had no student debt. Only a quarter had more than $30,000. This thrift and prudence will be rewarded by having to pick up the burdens incurred by others.

 

Many of those who benefit, in the meantime, are relatively old and affluent. Biden would cancel debts for borrowers who’ve been repaying for 20 years or more — so, people at least in their 40s. According to federal numbers, it’s borrowers 35 to 49 years old who owe the most — in Wisconsin, about 39% of the $23 billion in student debt outstanding here. This fits with how much of student debt comes from professional degrees, such as those in law, medicine or dentistry: 72% of those getting such a degree owe $50,000 or more. But it means that relief is going to people who’ve had years to ramp up their careers or who are in high-earning professions.