Biden’s student debt cancellation and more: Letters to the Editor — March 3, 2024

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President Biden’s cancellation of more student loans is a textbook example of moral hazard (“Student debt racket,” Feb. 23).

Risk-takers enjoy benefits when their decisions turn out well for them; somebody else pays the price if undesirable outcomes occur.

Student-loan recipients enjoy the benefits of higher incomes if college helps their careers, but taxpayers are on the hook when loans aren’t repaid or canceled due to low post-college earnings.

This results in inefficient use of resources as too many people go to college and too many students major in subjects that have low earnings.

This creates a palpable sense of unfairness for taxpayers and those who repaid their loans, didn’t take out loans or didn’t go to college.