After White House Domestic Policy Council Director Susan Rice claimed student loan debt handouts will not have any meaningful impact on inflation, one economics professor is giving the Biden administration an "F" on their deficit math.
"I hate to give out F's, but what else are you going to give her on this one? The math doesn't add up," Fox News contributor and The King’s College economics professor Brian Brenberg said on "Varney & Co." Thursday.
"This is a $600 billion student loan handout. Sounds to me like deficits are going up, which means that inflation is going to be pressured to go up," the professor continued. "This thing is unjust, it economically doesn't work and it's dictatorial."
On Wednesday, President Biden announced student loan debt cancellations of up to $20,000 for Pell Grant recipients and $10,000 for those making less than $125,000 per year.
While a Penn Wharton Budget Model estimated the plan will cost American taxpayers $300 billion, the bipartisan Committee for a Responsible Federal Budget reports a nearly $600 billion impact.
Brenberg joins the growing list of economists, including Dave Ramsey and former Council of Economic Advisors Chairman Kevin Hassett, sounding the alarm over the student loan debt repayments digging the economy into an even deeper deficit hole.
"Who gives the president the authority to do this? He's grasping at straws right now," Brenberg said. "I think if it gets to the Supreme Court, we're going to find out he can't do this, but he's already fulfilled his wish."
That wish, according to the professor, is following through with his campaign promise to deliver student loan debt handouts and winning voters over.
"[Biden] hopes he gets credit in November. But I doubt it, I really do," Brenberg noted. "I think a lot of Americans are going to say, 'Wait a second, this stinks. This doesn't make sense. We're not happy about this,' and it's going to backfire."
The professor further argued President Biden is making those who paid off student loan debt look like fools.
"If you took any measure of responsibility, if you made some sacrifices, if you arranged your life such that you could pay off your debt, what you find out is, you were a fool," Brenberg said. "That's the policy of the federal government right now, to make sure they can prove you're a fool if you did the right thing."
Looking forward, Brenberg claims the policy move sends the wrong message to college students.
"Do they think they're going to pay off their debt? Do they think debt or contracts for debt mean anything? No," the college professor said. "What they're thinking is: All I got to do is wait for a desperate politician, and an election, and they'll take care of everything for me."