Quote:
Originally Posted by LogicalApex
Simple:
- Government profits off the loans via loan interest.
- Government also profits off the increase in lifetime earnings via increased tax revenue due to wage increases and reduced reliance on welfare programs.
Meanwhile, government bears unusually low risk since the loans can't be discharged in bankruptcy.
When you borrow for a mortgage the bank doesn't get to simultaneously charge you interest on the loan and tax you on the increased equity since you've owned the home... |
When you borrow on a mortgage you don't stop paying interest when your taxes go up either. One has nothing to do with the other so it is not at all double dipping. Everyone's taxes go up when they earn more. It is kind of shocking to think people think the way you think. JFC.