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Speaker 1: And we are back with another edition of the Federalist

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Radio Hour. I'm Matt Kittle's senior elections correspondent at the

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Federalist and your experienced Shirpa on today's quest for knowledge.

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As always, you can email the show at radio at

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the Federalist dot com, follow us on x at FDR LST,

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make sure to subscribe wherever you download your podcast, and

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of course to the premium version of our website as well.

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Our guest today is education expert Beth Acres, Senior Fellow

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at the American Enterprise Institute. The US Supreme Court earlier

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this week lifted a lower court injunction against the Trump

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Administration's efforts to dismantle Department of Education. The decision allows

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the administration to proceed for now with mass firings of

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a forty five year old agency. At a forty five

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year old agency that has had a difficult time justifying

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its existence. Beth joins us with a little perspective on

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this decision and where we go from here. Thank you

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so much for joining us on the Federalist Radio Hour.

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Speaker 2: Oh you're welcome. I'm glad to be with you today.

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Speaker 1: You bet, I mean this was it felt like a

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long time coming for the Supreme Court to weigh in.

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There are a number of things involved in this decision

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that I think that are important. But first of all,

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let's begin with what this decision ultimately gives the executive

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branch the right to do. I suppose.

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Speaker 3: Yeah, So what it allows the administration to do is

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basically exactly what it tried to do, which is to

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do a really tremendous reduction in force at the Department

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of Education, but you know, fall short of allowing them

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to you know, quote unquote dismantle or eliminate the department.

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It seems like pretty much everyone is an agreement administration,

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you know, congressional lawmakers, Supreme Court that in order to

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eliminate that department, we would need legislation, and the administration

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recognizes that fact. But also, you know, has been granted

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the explicit authority by this decision to go ahead and

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make these reductions in force, which we know are sort

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of a complimentary strategy to a future closure of the department.

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Speaker 1: Yeah, do you see that in the future of the

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Department of Education, Because that's ultimately for a lot of

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Americans where they would like to see this go. Ultimately,

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this forty five year old was established by President Jimmy Carter. Yeah,

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in nineteen seventy nine. There have been concerns about this

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agency throughout it's forty five years. Do you see the

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Department of Education ultimately being a thing of the past.

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Speaker 3: Well, you know, it's a little funny because whether or

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not the Department.

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Speaker 2: Closes, you know, in name right, as an.

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Speaker 3: Entity, it probably matters less than how the bureaucracy is structured.

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Speaker 2: So I do not see.

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Speaker 3: Lawmakers in Congress really jumping at the idea of formerly

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formally closing the Department of Education. And so I don't think,

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you know, we will see that dream of the right

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kind of fulfilled explicitly. But I will say, you know,

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in practice, it may be that the huge reductions in

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force and sort of some of the reassignment of these

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policy activities to other agencies may you know, effectively diminish

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the role of the federal Department of Education to the

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extent that it might as well not be there. And

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then I guess, of course that might mean lawmakers would

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be more more interested in the idea, But it feels

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more like a political liability for lawmakers to actually go

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ahead and formally make that change, you know, with not

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a tremendous you know, potential political advantage at this point

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kind of like I'd say, like the noise has been made,

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like the victory has been one in terms of rhetoric,

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and then you know, the in effect, like the real

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practice of running federal education policy, both K twelve and

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Higher ED will be changed by the way that these

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agencies are staffed, by the way that the policy infrastructure

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holds these programs, and those you know changes are all

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within the authority of the current administration and future administration.

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So you know, in effect, I think we'll see a

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practical closure of the Department, if.

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Speaker 2: Not in name.

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Speaker 1: It's interesting to me that conservatives Republicans have been talking

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about closing the Department of Education for a long time,

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in some cases as long as it's been in existence.

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But there's been a growing chorus, of course of these

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I remember then Texas Governor Rick Perry struggling to remember

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during a debate the three agencies that he would close.

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I think I can't remember now if he struggled with

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the Department of Education, but that's what he was talking

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about during the two thousand and twelve election cycle. But

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try as they might. And again this is you know,

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obviously a congressional matter as well. We haven't seen any

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movement on that front until Trump two point zero. Why,

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I think I understand in large part why that is

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because you have had Democrat governors excuse been Democrat president

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since that time, in Barack Obama and Joe Biden. They

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are absolutely beholden by the you know, the eduocrats and

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the unions. But why hasn't there been more of a

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forceful move from Republicans over the years to at least

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attempt to rein in the Department of Education.

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Speaker 2: Yeah, good question.

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Speaker 3: I mean, I think there is a natural constituency for

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this kind of small government constrained federal role. I mean

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maybe a lot of your listeners are, you know, in

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that genre of thinkers, But I just don't think like

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on the national stage that's like a really big winning message,

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at least.

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Speaker 2: Not until now.

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Speaker 3: I mean a lot of the movement that we're seeing

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a policy right now is in the higher ED space.

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And what we've seen is that public sentiment has shifted,

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you know, in the negative on higher ED in recent years.

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It seems like Americans are much more skeptical of what

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higher ED is doing, and I think that's empowered a

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lot of conservative lawmakers, both on the administration side and

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also some of the big changes we've seen.

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Speaker 2: With the reconciliation legislation.

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Speaker 3: So yeah, I mean these are long held ideals by people.

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Speaker 2: Who kind of, you know, live and breed these values.

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Speaker 3: Of small government, but they have been kind of empowered,

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i'd say, by this political moment where Americans have this

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dissatisfaction with education kind of at a scale.

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Speaker 2: Where it has bubbled up to being a you.

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Speaker 3: Know, portfolio like a campaign portfolio issue for federal lawmakers,

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which is really the first time I've seen.

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Speaker 2: That in my career.

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Speaker 1: Do you think Americans are at that point largely because

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of three letters D E I actually equity and inclusion,

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and that of course has been infused at higher education

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for a long time. Yeah, and it certainly is rampant

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in public education.

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Speaker 2: I would say yes, and I'll zoom out a little bit.

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Speaker 3: I think there are two threads that are taking Americans

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down this road. One is, you know, what I would

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more broadly describe as the cultural issues facing college campuses,

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and I think DEI is a part of that that

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was clearly a like a winning political message for the

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Trump administration in gaining a second term.

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Speaker 2: But also I think, you know, following the news of the.

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Speaker 3: Hamas attacks on Israel, I think there was a demonstration

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of a behavior on college campus that kind of highlighted

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for Americans that you know, like we had been talking

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for a long time about like this progressive like ownership

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of higher ed and you know, this lack of opportunity

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for like real free speech on college campuses. But I

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think it was a bit theoretical, and I think, you know,

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the demonstrations from students, like the literal demonstrations, but also

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the behavior demonstrated something that I think most Americans don't

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feel comfortable with. And so I think that highlighted the

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cultural issues facing college campuses in a new way.

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Speaker 2: It elevated that issues.

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Speaker 3: For Americans, you know, And I think that goes hand

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in hand with the conversations around DEI And I'm an economist,

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so source I of course I see the dollars and

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cents of every issue. I think another reason for this

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dissatisfaction is that, you know, we've pushed Americans into this

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idea that a college degree is the only pathway to

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the American dream. And I think that we have done

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a disservice to Americans by selling them this like false

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golden ticket to prosperity, and they're kind of onto us,

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you know, it's like, Okay, wait a minute. You know,

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you prompt I get this bachelor's degree and I'm now

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part of this upper class of Americans. But in practice

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that doesn't always happen, and I think Americans have become

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more skeptical of this promise that they've been sold, and

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Higher ED plays like a really central role in that promise. Yeah.

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Speaker 1: I think that's a great point, and this opinion, this

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decision from the Supreme Court gets into a big part

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of that. We'll talk about that coming up in just

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a moment. But also as we look at the dollars

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and sense of it all, we saw the federal government

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push in hundreds of billions of dollars during COVID into education,

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and we saw the results of that, and I think

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the Department of Education was on the front line of

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that failure. Do you think that that has had an

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impact in the minds of Americans.

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Speaker 2: I think it's possible, but to be honest, I don't.

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Speaker 3: I think most Americans, you know, have the luxury of

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understanding like the nuance of the bureaucracies of the federal government.

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You know, like I think there's a sense the federal

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government is doing too much and they're not doing the

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right things here.

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Speaker 2: And whether that comes from an agency that's.

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Speaker 3: Called Department of Education or it's coming from Health and

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Human Services, you know, I think.

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Speaker 2: We're very cut up, you know, being part.

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Speaker 3: Of this Washington bubble with you know, the explicit idea

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of a closure of a particular department. But I think

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most Americans it's more about the spirit of this change,

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which is capturing you know, I don't like what's happening,

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you know, and something needs to change, and this feels

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like a symbol of that sentiment. And I think that's

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what that's what Americans are excited about more so than

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you know, this explicit you know, reorganization strategy for the bureaucracy.

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Speaker 1: Yeah. Yeah, it does get in the weeds for Americans,

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I'm sure, But we're talking about a bloated federal government

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and general that's been a conversation that we've had for

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a long time, and I think the Department of Government

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Efficiency pushed that to the forefront. Whatever side you're on

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in that battle, It's clear that President Trump, in Trump

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two point zero, would like to see the end of

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the Department of Education. His executive order earlier this year

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was I'll read part of it, get your response to it.

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The experiment of controlling American education through federal programs and

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dollars and the unaccountable bureaucracy those programs and dollars support

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has plainly failed our children, our teachers, and our families.

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What do you think of that sentiment as the administration

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continues to move to drastically cut and draw back the

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Department of Education.

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Speaker 3: You know, I do think it's fair to say that

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the department, the federal Department of Education, has enabled more

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meddling in what should be a state issue, which is

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K twelve education, than would you know, be allowed otherwise.

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So I do think that, you know, as much as

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I'm saying this is kind of an arbitrary you know,

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these these boundaries of one agency to the next are

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not that important. I do think that the existence of

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a Department of Education has allowed for almost like this

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internal lobbying structure that has caused federal policy to be,

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you know, excessively heavy handed on the K twelve side.

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And then you know, like practically when it comes to

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the Higher ED side, you know, Higher ED does have

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some you know, pretty important federal programming, but it is

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not programming that fits very well within the current conception

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of what the Department of Education is, which are you know,

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education professionals, you know, because as the federal intervention at

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the Higher ED level is really a financial intervention. And

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you know, even people like myself who I don't really

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identify it as like a very super strong small government person,

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but you know, as a conservative, you know, have had

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the feeling for a long time that, you know.

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Speaker 2: Whether we close the torrent education or not.

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Speaker 3: I'd love to see the federal financial aid programs managed

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by a different agency where the staffing is more appropriate

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to the function that they're actually taking on.

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Speaker 2: So I mean, I think there's you know, the.

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Speaker 3: Idea, like the pure ideological motive of you know, smaller

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government eliminating that internal influence to affect policy and maybe

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enabling the overreach of federal policy making, but also just

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the practical I mean this is, you know, an.

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Speaker 2: Inappropriately staffed agency.

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Speaker 3: For the task at hand, for even for those places

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where I think even a lot of Republicans and conservative thinkers.

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Speaker 2: Feel like there is a federal role.

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Speaker 3: So, you know, the as much as this has become

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political rhetoric for you know, the current administration, I mean

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there's some really sound reasons, even you know, how to

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moxt more moderate thinkers that this is, you know, as

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I've written before, not a crazy idea at all.

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Speaker 4: The Federal Reserve Offices in DC are getting an extreme

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Soviet makeover. The Watched Out on Wall Street podcast with

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Chris Markowski. Every day Chris helps unpack the connection between

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politics and the economy and how it affects your wallet.

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The Federal Reserve Offices are getting a two point five

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billion dollar renovation. For perspective, Jerry Jones built Cowboys Stadium

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for one point one five billion. Whether it's happening in

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DC or down on Wall Street, it's affecting you financially.

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Speaker 3: Be informed.

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Speaker 4: Check out the Watched Out on Wall Street podcast with

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Chris Markowski on Apple, Spotify, or wherever you get your podcasts.

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Speaker 1: Our guest today is Beth Aker, Senior Fellow at the

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American Enterprise Institute. We're talking about the US Supreme Court's

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decision recently to lift the Lower court injunction against the

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Trump administration's efforts to dismantle the Department of Education. Massive

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job cuts there, and a lot of Americans believe rightly.

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So I want to talk about the legal side of

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this for a moment, if you don't mind. This was

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an injunction from the lower court system. Once again, the

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lower courts have had a very difficult time, it seems

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to me, with executive branch power. And the question comes up,

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and it's a good one every time, if previous presidents,

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and in this case, if President Joe Biden and President

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Barack Obama can do all these things to expand the

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Department of Education, why can't a Republican president in this

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President Donald Trump do what he wants in his agenda

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with his electoral mandate to reduce the footprint of the

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Department of Education.

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Speaker 2: M hmm, Yeah.

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Speaker 3: I mean, I think that's a very fair observation, and

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I think the message from the court was very clear

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and saying that that's exactly what this administration is allowed

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to do as long as they stay short of, you know,

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what is required by legislation, they absolutely have the authority

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to do that. And you know, very clearly there's a

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lot of Democrats that have angs over the fact that

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this administration is using a lot of the same authorities

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that they use that they now perceive as an overreach.

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But you know, during the Biden administration, seemed like an

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appropriate way to exert their influence over these sectors. So,

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I mean, politics is always rife with hypocrisy.

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Speaker 2: And I think this is a good example of that.

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Speaker 1: Yeah, I mean that is really the most telling point

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here when we're looking at these lower court decisions and

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these nationwide injunctions, which the Supreme Court one of the

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last decisions of the most recent term, said, listen, lower courts,

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you have to understand that nationwide injunctions from district courts

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are not the practice of this federal court system. On

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rare occasions you can do that. We also have district

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courts that have decided that Congress no longer has the

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power of the first strings when we're talking about the

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issues of a funding planned parenthood, for instance. So was

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this any surprise that we would get this kind of opposition,

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certainly from Biden and Obama appointed federal judges.

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Speaker 3: I mean, I think we can say it's pointing that

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you know, the judiciary has, you know, this politicized existence

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and that you know, we cannot count on judges to

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weigh in on these issues in a non politicized manner.

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But I don't think it was particularly surprising. And you know,

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I'd like to think that conservative judges wouldn't do the

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same in reverse, but you know, until that's tested, I'm

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not sure i'd say confidently that we wouldn't see the

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same in reverse.

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Speaker 2: I think that's.

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Speaker 3: Quite unfortunately the nature of our political infrastructure.

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Speaker 1: Well, let's take a look at the Department of Education

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as mega lender. You talked about where we stand now

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in forty five years, thanks to legislation, thanks to Congress,

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thanks to executive orders, this Department of Education has been

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an entity onto itself, a country unto itself in the

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amount of money that goes through college borrowing. You had

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the Biden fix attempt, which certainly was unconstitutional, which was

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to write off these loans, you know, on the backs

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of American taxpayers, many of them who did not pay

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for a college education, and felt, you know, that they

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were built by this. But what can the Trump administration,

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what is it doing? What can the Trump administration and

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Congress do to change this system which has many, many

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problems in it.

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Speaker 3: It does have many, many problems, but I will say

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I'm sort of sitting in an optimistic moment right now

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because a lot of the changes I've been advocating for

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for a long time in this program were successfully made

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through the Reconciliation legislation. So we saw a few things happen.

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And you know, when President Biden failed in canceling student

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debt because the court stood up and said it was illegal,

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not to mention, unfair, to just wipe away the student.

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Speaker 2: Debt of people who had benefited from.

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Speaker 3: College, he basically tried another, like I think they called

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it Plan B even explicitly, and it was basically to

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create a repayment plan for borrowers that you kind of

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just didn't make them repay their loans. And so we're

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still waiting for the courts to weigh in on, you know,

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whether that will be allowed to stand. I think most

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people are in agreement that this is something that will

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be overturned as well.

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Speaker 2: So you know what the what the.

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Speaker 3: Legislation does is puts in place of reasonable repayment plans

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for borrowers so that if you're somebody went off to college,

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you know saw the benefit. You know you you paid

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a price up front, but you borrowed to do that,

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and then you went off and got a great job,

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and you know, are a good job and you're able

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to afford to repay taxpayers the money that you borrowed

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from them.

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Speaker 2: You will be asked to do that.

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Speaker 3: And so, you know, instead of this kind of crazy

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backdoor forgiveness plan that President Biden tried to put in

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place and sort of half succeeded in getting, you know,

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put in place, we have really a reasonable or payment structure.

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But that also provides some protection for borrowers who you know,

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do find themselves kind of in trouble and you know,

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things happen people. We rely on higher education to be

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a mechanism, really the mechanism for social mobility for the

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US economy, and so it kind of really needs to work,

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you know, and like sometimes college doesn't work, and sometimes

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it works. You know, it doesn't work for no fault

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of the individual borrower.

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Speaker 2: And so the new.

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Speaker 3: Legislation leaves in place these protections to say, if you're

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someone who paid for college, it didn't work for you.

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Maybe your college was lousy, they closed, or your profession

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you know, was replaced by AI or something you know,

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your loans will be forgiven ultimately after you show you

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know you've had sufficient hard ship and.

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Speaker 2: Repaying those loans. But those are a good changes.

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Speaker 3: I mean that brings us back to the whole point,

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which is that Americans are willing to lend money to

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people to make these investments that for the most part

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are good in their education and their skill development, so

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that they can contribute to the workforce as long as

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they pay those dollars back. And so legislation brings us

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back to that model, which is actually a lending model,

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and at the same time, it puts institutions more on

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the hook. So you know, we're going to stop making

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loans to programs of study that have consistently really poor

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earnings outcomes for their graduates. And the bar is low,

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but previously there was no bar, so this is a

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huge step forward. Basically, it says that as a program

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of study, like you're the major at every major, at

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every accredited you know, funded institution, has to prove that

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their graduates are out earning the median earner with a

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high school diploma in that state.

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Speaker 2: So low bar, but better than no bar.

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Speaker 3: And basically we're going to stop making a lot of

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those loans that were never you know, should never have

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been made in the first place because the borrowers had

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no shot in being able to pay back.

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Speaker 2: So the combo of.

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Speaker 3: Those things, I think really sets us in the right

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direction in a big way on student lending, following an

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era where you know, the proposals that were coming from

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the left were really just off the wall.

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Speaker 1: Pether, are you telling me that Lithuanian folk art isn't

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a master's stroke in terms of a professional road that's

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going to have a huge payoff, or perhaps trans Icelandic poetry?

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Are you saying Are you saying that those areas of

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study won't lead to a profitable human being?

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Speaker 3: It turns out empirically speaking, no. And what I will

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say in defense of those fields, I would love for

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people who have the resources to pay for that themselves

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to still be able to study those things. That's what's

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great about America. But I, as a taxpayer, do not

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want to be funding it, nor do I want other

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taxpayers to be on the hook to pay when these

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people cannot repay their loans. And that is the direction

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that this legislation takes us, which is a great thing.

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Speaker 1: Well, I guess that leads to my next question. How

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culpable is the Department of Education in the high, high

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cost some and oftentimes the unattainable cost of higher education

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in America today?

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Speaker 3: Well, I say partly, and I put some of the

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blame on Congress too, because you know, as we've expanded

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eligibility for federal lending and increased Pelgram eligibility, that has

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translated to increasing costs. But the other thing, and those

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changes have come from the Congress side, But the things

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that have changed from the administrative side are that we

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have introduced these programs that mean that you know, that

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borrowers can make reduce payments in times when they have

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low income, and that results in them often not paying

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back their loans at all. And that actually happens quite

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often for you know, more well off borrowers than you

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would like to think. That translates almost directly to increased costs.

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I mean, we even had a case of Georgetown Law

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School was basically, you know, advising their students on the

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front end, like, hey, you should keep borrowing because you're

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not gonna have to pay it back, you know, once

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you get to this amount because of this federal program

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I mean, they got kind of exposed in the media

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and how to change their ways. But you know, the

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incentives were very apparent institutions, which is, your students.

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Speaker 2: Don't have to pay this price.

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Speaker 3: They're never going to pay back their loans, so you

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might as well charge whatever you want. And that was,

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you know, especially true for graduate and professional schools, less

437
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true for undergrad But I would say we've definitely had

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a federal policy regime that contributes substantially to the inflation

439
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that we've seen.

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Speaker 1: Trump notes the unaccountable bureaucracy. I think if anything is

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true about the Department of Education, it is that it

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has so many occasions been unaccountable. I think about a

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series of investigative reports I did back around twenty fourteen

444
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twenty fifteen in the Obama era, where these dear Colleague

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letters started hitting everywhere, and I remember the Milwaukee parental

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choice school system was subject to between the Department of

447
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Education and the Department of Justice, a series of investigations

448
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and harassment simply because they existed. And I wonder if

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the changes that Trump is making, what he can do

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on the executive end, will end that kind of power

451
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trip from the Department and of education.

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Speaker 3: Yeah, I mean, I'm less an expert on the K

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twelve side, but you know, I think one criticism of

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the current administration that is fair is that they have

455
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used similar tactics themselves. I mean, even in addressing the

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real issues that are happening at some of the elite

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college campuses, you know, in the way that the administration

458
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has communicated and dealt with Harvard and Columbia. I mean,

459
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there are real issues there to address, but I do

460
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think the you know, kind of overreach or violation of

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process that we saw the administration utilizing to address those

462
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issues kind of felt too similar to me to the

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overreach that we've seen in democratic administrations, and so I'd

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love to see us move away from that kind of

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heavy handed approach of federal involvement at all.

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Speaker 1: I get what you're saying, but I think Americans have

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really gotten to the point where they are absolutely sick

468
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of institutions of higher education promoting you know, really completely

469
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anti American forms of indocrination is what it is.

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Speaker 2: Yep, yep.

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Speaker 3: And you know a lot of my close friends, of course,

472
00:29:12,480 --> 00:29:16,640
are you know, involved in these these movements, and then

473
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that's exactly what they say as you say, Beth, Yeah,

474
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like would love to just follow standard processes, not make

475
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like a big fuss.

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Speaker 2: Out of all this.

477
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Speaker 3: But we have tried that, you know, year after year,

478
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administration after administration, we have tried to do things in

479
00:29:31,079 --> 00:29:34,039
kind of like a less boisterous way, and that has

480
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not worked in affecting change.

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Speaker 2: And so that you know, that is the idea. I

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get it. I'm sympathetic to that as well.

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Speaker 1: All right, final question for you. I appreciate the generosity

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of your time today, and that is this, where does

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higher education go from here? Where do you see higher

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education ten years down the line into the next several decades.

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Speaker 3: I think that higher education is facing or reckoning at

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the moment. And it's not a reckoning caused by lawmakers

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or federal or state interventions. It's reckoning that Americans are

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questioning what is higher ed, what's it worth?

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Speaker 2: And what's it doing for me?

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Speaker 3: And as much as the government pays for the continued

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existence of this sector, they need Americans to be bought in.

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And I think, and I maybe this is hopeful more

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than it is a prediction. I hope that we will

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see institutions responding to the fact that Americans want programs

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to be you know, creating, focus on creating opportunity and

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economic financial opportunity for their students more than you know,

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this sort of politicized indoctrination of ideas or you know,

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the notion of developing citizens in one light or another.

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Speaker 4: You know.

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Speaker 3: I hope we can move away from that, and I

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think the demand for Americans will push institutions in the direction.

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Whether or not the policy or legal infrastructure around higher

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ED will enable them to be innovative enough to really

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move quickly, I don't know, but I'm hopeful that we'll

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see some changes.

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Speaker 2: In that direction.

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Speaker 1: I hope they's sustaining those changes as well, because we've

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certainly experienced a good deal of whiplash over the years

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in terms of politics and education. Ultimately, the idea should

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be to provide the best education possible. There are a

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lot of moving parts and players in that, but that

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should be without the sort of indoctrination we've seen campuses

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across the country.

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Speaker 2: Yeah. Absolutely.

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Speaker 1: Thanks to my guest today, Beth Akers, senior fellow at

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the American Enterprise Institute, you've been listening to another edition

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of the Federalist Radio Hour. I'm Matt Kittles, Senior Elections

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00:31:57,000 --> 00:32:00,559
correspondent at The Federalist. We'll be back soon with more.

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Until then, stay lovers of freedom and anxious for the fray.

