Debt Relief for America

bautiste at bautiste at
Fri Oct 9 23:38:36 PDT 1998

With the astounding levels of debt of the lower and middle classes, what would debt relief in the form of a one-time debt forgiveness do for the lower classes? I am thinking that the $70B budget surplus could be used to do this. I do not know what form it should take, though. Should there be a tax break for those who pay their debt--they get it back in the form of a tax credit, or could the govt. just say close the books on the debt? The latter is what they do in the case of bankruptcy. Maybe the govt. could give companies that forgive the debt a tax break?

Anyway, something like this would spur economic growth among the lower classes, no? Also, a debate on the issue could highlight the predatory practices of some credit companies that prey on those in debt, only to get them in higher debt, with huge interest rate payments.

Anyone know of anything written on this subject?


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