Top economist says tuition costs will rise as a result of Biden's student loan forgiveness

Economist Jason Sorens said Wednesday that the cost of college tuition will likely go up as a result of President Joe Biden's canceling student loans. 

"Tuition costs are going to rise even more because of this debt cancellation, and of course, future borrowers are going to realize that probably there's going to be more debt cancellation, so why not take on even more debt?" Sorens said on the "Just the News, No Noise" TV show. 

President Joe Biden announced Wednesday that his administration would be canceling $1.2 billion in student loan debt for 153,000 borrowers.

Those eligible for the cancellation have to be enrolled in the administration's Saving on a Valuable Education repayment plan, which was launched last summer, according to NBC News. 

"It's going to hugely hurt people who never go to college at all, or who dropped out of college," Sorens said. "They're going to be stuck in many cases paying the bill in terms of taxes."

Last month, the administration approved $5 billion in debt cancellation for about 74,000 borrowers.