Biden student loan handouts criticized for potential inflation repercussions

Joining me now with reactions, House Administration Committee Chairman Brian Steyl. Chairman Steyl is also on House Financial Services Committee and former Home Depot and Chrysler Automotive CEO Bob Nardelli. Great to see you, gentlemen. I appreciate you coming in. Congressman Steyl, how will the concerns that Americans are now having about inflation and debt, which Grady just talked about, how are they going to be affected by this latest student loan bailout? The student loan bailout is not only unfair and unconstitutional, it's political, but it's also inflationary. But here's the worst part is it doesn't actually address the underlying problem, which is the high cost of education in the first place. And so I think what most voters are going to do is be able to see right through what the administration is doing. They're out trying to buy votes in the homestretch of an election when the president has a base problem with young voters and the president has no concern that his policies are simply driving inflation higher and clobbering the American families he purports to help. And Bob, if it is vote buying, which many people say it is, it seems pretty obvious it is. They're trying to get the young votes. It's not working with the general population of voters. Fifty two percent of Americans oppose it. That's why the president is doing it by executive order. If he tried to get it through Congress, it wouldn't pass. Well, if you remember, the speaker of the House, Pelosi, said it wasn't legal when she was in the seat. And the congressman said it right. This has just become blatant now with this administration. And if you think about the aggregate of where this could go, some eight hundred and twenty billion dollars, David, that's the total amount of the budget for our military. So we're putting loan forgiveness ahead of national security. Again, it's just a blatant move by this administration that we continue to see for the last three and a half years. Congressman, not only did Nancy Pelosi say it was illegal, more importantly, the Supreme Court said that this kind of spending and by the way, the Committee for Responsible Budget says it could be up to one point four trillion dollars. All of the student loan bailouts, primarily those of the Biden administration. But it is, according to the Supreme Court, an illegal act by the president. Why are we allowing President Biden to break the law? Well, this is where Republicans in the House have to continue to use every tool in the toolkit to push back against the egregious actions of this administration. The action was originally found to be unconstitutional by the United States Supreme Court, as you said. Now, President Biden is back to the table, simply trying to use a different legal authority. We're going to have to run this charade one more time, go to the courts, prove it's unconstitutional. Again, this is simply the president trying to drive forward a political narrative where he's having problems with his base, in particular, young college students. And he's looking for any opportunity to change the narrative from the disastrous economic policies he's pushed forward, the broken border, there is failed foreign policies where he refuses to lead from strength. And, you know, Bob, colleges love this. Universities love this because they don't have to worry about getting stiffed by by people who aren't paying their tuition and they keep raising their tuition. So the folks who are trying to do things honestly, pay back their debts, have to pay much more than the rate of inflation. So colleges and by the way, there's also the question of return on investment with these colleges. When you look at what happened with these riots over the past couple of months. Yeah, well, David, a couple of points that you made there, I mean, this is this is basically giving the university carte blanche to raise tuition three, four or five percent a year annually. And I'm not sure they're delivering any higher education, maybe a more indoctrination as you just referenced with some of the riots that we've seen at the university. So, again, you want to talk about another yet singular inflationary act by the missteps and the debacles of this administration. This has got to rank way high on the list of those those issues, David. Congressman, I do want to ask you about something slightly off off subject here. It's called the FIT 21, the financial innovation and technology. I don't know if you call it a bill yet or a proposal. What is it and what do you feel about it? We have a bill coming on the House floor later today to address what's playing out in our crypto landscape across the United States. We have Chairman Gary Gensler at the Securities and Exchange Commission running rough shot at trying to put forward policies through enforcement actions. It's incredibly destructive in the broader space. What we need to do is pass this bill that you just referenced to put forward a framework to allow innovation and development to occur in the United States. The big concern as it relates to crypto is this. This development is going to occur offshore if we don't put forward a framework for that to occur here in the United States. Bob, I want to ask you about this because we all remember the FTX disaster that happened with Sam Bankman Freed. Do we do we really trust Congress? I know that the Congress is blaming the administration. The administration is blaming Congress. But are any politicians up to the task of regulating this market? Well, this this is a tremendous challenge to do it. And, you know, as we see, as the congressman said, there's an internal fight going on right now between different branches within this administration of who's going to control what aspect of this, whether it's the currency or the assets that back it. So, again, we have tremendous confusion out there, which is going to lead to chaos, which is going to lead to no controls. David. All right, gentlemen, we got to leave it at that chairman style. Bob Nardelli, great to see you both. Thank you very much.