May, 2019
Washington -- Robert F. Smith's loan cancellation gift to 2019 Morehouse College graduates is getting attention for both good and bad reasons.
If I had his attention I'd shout: "Stop Before You Give Again!"
If someone wants to help with the student debt crisis, there are much better ways to do so. I could give Mr. Smith a list of non-profit charities that for a fraction of his generosity could do multiples more good. If Mr. Smith should happen to see this, I have a list ready. It includes my own charity, which has been remarkably effective with far less money.
Among the more reasoned responses to the Morehouse gift was one from Michelle Singletary, a personal finance columnist who understands paying-for-college issues. She raised the "equity" issue but also puts it into perspective. The gift is inequitable, but don't get too upset about it.
Earlier this month I addressed Elizabeth Warren's debt cancellation plan and found it wanting from the standpoints of both individual and institutional equity. My hope is not to discourage such plans, but to show how they can be improved.
