Democrats keep promising new programs: cutting rates on college loans is one of the latest.
Congressional Democrats say when they take the gavel from Republicans next month, they will put money in the pockets of college students and closely examine a law reforming elementary and secondary schools. How they will pay for their plans isn’t clear.
Democrats, who won the House and Senate in last month’s elections, say they will quickly move to slash interest rates on need-based college loans in half - from 6.8 percent to 3.4 percent.
“That will be done almost immediately, certainly within the first couple of weeks of the new session,” California Democratic Rep. George Miller, the incoming chairman of the House education committee, said in an interview.
But, as this article points out, where the money will come from is anyone’s guess:
Democrats haven’t spelled out how they’ll pay for their promises, which may run head-on into another pledge: to require any new spending to be offset with cuts elsewhere or new taxes to avoid increasing the deficit.
The “other pledge” mentioned above is a policy called PAYGO, or pay as you go. Democrats envision a PAYGO program in which future tax cuts must be offset by some other item in the federal budget while entitlement spending is alowed to remain on autopilot without any offsets. This version of PAYGO is a complete sham designed to rip off the taxpayer and prop up big government liberalism.
When Democrats try to enact PAYGO next year, conservatives will do their best to amend the new rule so that it applies equally to tax policy and social programs.