Once the people begin to understand that their federal government "funds" them, and not the other way around, they will demand that it do so more equitably and provide the "common welfare" mandated for such funding in our constitution. The artificial restraints imposed upon such spending of money into existence are all related to myths and misunderstandings that, conveniently for the donor class, create most of our social problems as well as a "race to the bottom" economic system.

Most of the mystique and complexity surrounding money is nothing more than an attempt to obscure a system that begins with a grand fallacy. Your logical assumptions about student loan debt can be applied to any federal program/spending. Social Security, Medicare, Medicaid etc. all present problems that will only be properly solved when we realize they are nothing but spreadsheets within the greater spreadsheet of the government and that the debt used as an excuse to make workers subject to capital is nothing more than the accumulation of our past productivity and the store of value that represents it.