This seems like it would only make the student loan situation worse over time. Tuition is inflated because student loans are easy to get, so students are not very price-sensitive and are willing to go to expensive schools over much cheaper options. Forgiving student loan debt helps current students, but just encourages future students to accept even more debt with the hope that it will be forgiven.

We should be encouraging students to go to cheaper schools (state schools are far cheaper that out of state, and out of state schools are still cheaper than private schools), and bringing in legislation which reduces tuition. The US could bring in legislation to lower tuition at public schools (they are doing this in Ontario right now, which has a similar system), although this might have to be a per-state issue rather than national issue.